Gold Miners Approaching Support Zone

brass metal frame

Image Source: Unsplash

Gold Miners ETF (GDX) shows an incomplete bearish sequence from 5.4.2023 high looking for further downside. In a shorter cycle, the decline from 7.18.2023 high is in progress as a 5 waves impulse. Down from 7.18.2023 high, wave 1 ended at 27.27, and the rally in wave 2 ended at 30.13. The ETF then extended lower in wave 3 towards 25.68. The internal subdivision of wave 3 unfolded as 5 waves to a lesser degree. Down from wave 2, wave ((i)) ended at 28.79, and rally in wave ((ii)) ended at 29.41.

The ETF extended lower in wave ((iii)) towards 26.62 and the rally in wave ((iv)) ended at 27.59. Final leg wave ((v)) ended at 25.68 which completed wave 3 in a higher degree. Wave 4 is currently in progress to correct cycle from 9.21.2023 high in 3, 7, or 11 swings before the decline resumes. The potential target for wave 4 is 23.6 – 38.2 Fibonacci retracement of wave 3. This area comes at 26.74 – 27.39 where sellers can appear for further downside. The potential target lower is 100% – 161.8% Fibonacci extension from 5.4.2023 high. This area comes at 20.6 – 25.2. If we assume that 9.26.2022 low at 21.52 will hold, then the area of support should be 21.52 – 25.2.

Gold Miners ETF (GDX) 60 Minutes Elliott Wave Chart

(Click on image to enlarge)

GDX Elliott Wave Chart

GDX Elliott Wave Video

Video Length: 00:05:04


More By This Author:

Gold Bearish Sequence Favors More Downside
EURUSD Found Sellers At The Equal Legs Area
Is Discover Financial Services Ready For A Rally?

Disclaimer: Futures, options, and over the counter foreign exchange products may involve substantial risk and may not be suitable for all investors. Leverage can work against you as well as for ...

more
How did you like this article? Let us know so we can better customize your reading experience.

Comments

Leave a comment to automatically be entered into our contest to win a free Echo Show.
Or Sign in with