SPDR Select Sector Fund – Energy Select Sector ETF (XLE)

Elliott Wave Technical Analysis

Daily Chart Analysis

Function: Major Trend

Mode: Motive

Structure: Impulse Wave

Position: Wave i of (iii)

Direction: Uptrend

Invalidation Level: $84.03

Details:

The current wave (iii) rally is in its early stage.

Wave i of (iii) is approaching its end, which sets up a possible wave ii pullback.

This wave ii retracement will likely provide a strong buying opportunity before the powerful wave iii of (iii) initiates.

The long-term trend remains bullish, keeping XLE at the top of our watchlist.

4-Hour Chart Analysis

Function: Major Trend

Mode: Motive

Structure: Impulse

Position: Wave [4] of i

Direction: Uptrend

Invalidation Level: $89.28

Key Resistance: $94.29

Target Price (Wave [5]): $96.00

Key Support (Fib Level): ~$90.00

Details:

Wave [4] is developing as an expanded flat correction, expected to retrace around 38.2% of wave [3].

After wave [4] completes, wave [5] of i is projected to drive prices higher, targeting around $96.00.

Short-term investors should watch for an entry opportunity during this correction.

A break above $94.29 will confirm bullish momentum and the continuation of wave [5].

Conclusion

The wave [4] correction is currently playing out, likely to hold near the 38.2% retracement level.

Once complete, the next leg—wave [5]—is expected to push XLE toward $96.00, offering a favorable buying setup for ETF investors.

Traders should stay aligned with Elliott Wave principles and monitor the invalidation levels to avoid risk exposure.

Technical Analyst: Siinom

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