XLF Elliott Wave technical analysis [Video]

XLF Elliott Wave technical analysis

Daily chart analysis

• Function: Major Trend.

• Mode: Motive.

• Structure: Impulse Wave.

• Position: Wave 5 Navy.

• Direction: Uptrend.

Details:

• The 4th wave bottomed at $47.22 in a flat pattern.

• The current rally is still in its early stages and is expected to fully retrace Wave 4 in a five-wave upward structure.

• Minimum target: $54.00, aligning with the upper boundary of Elliott’s final channel.

• Invalidation Level: $47.22

4-Hour chart analysis

• Function: Major Trend.

• Mode: Motive.

• Structure: Impulse.

• Position: Wave 5 Navy.

• Direction: Uptrend.

Details:

• Wave 4 has ended within the expected KTL time range, confirming the wave count.

• The ongoing rally indicates the early stages of Wave 5, suggesting a strong buying opportunity.

• A throwback before continuation is expected, providing a better entry point.

• The $52.635 high should be surpassed by the ongoing climb.

• Key level: $48.18.

• Invalidation Level: $47.23.

Conclusion

• The 4th wave decline and correction in XLF is now complete.

• The ongoing rally is a fifth-wave movement, signaling a strong upward trend.

• After a potential throwback from a fifth-wave subwave, the market should rally significantly.

• This setup presents a good opportunity for ETF traders to go long.

• Adhering to Elliott Wave principles and monitoring invalidation levels is crucial to avoid unnecessary losses.

Technical analyst: Siinom.

XLF Elliott Wave technical analysis [Video]