Gold Miners Junior (GDXJ) set to resume impulsive move higher

Elliott Wave Forecast Team ElliottWave-Forecast.com

The VanEck Vectors Junior Gold Miners ETF (GDXJ) is an exchange-traded fund designed to track the performance of small-cap companies primarily engaged in gold and silver mining. Launched in 2009, GDXJ offers investors exposure to junior gold miners, which are often more volatile but can provide significant growth potential compared to larger mining firms. The ETF has become a popular vehicle for those seeking to capitalize on bullish trends in precious metals, particularly during periods of economic uncertainty or rising gold prices. In this article, we will explore the long term Elliott Wave technical path of the ETF.

GDXJ monthly Elliott Wave view

The monthly Elliott Wave chart for the GDXJ (Junior Gold Miners ETF) highlights a pivotal turning point. The ETF reached a Grand Super Cycle bottom of $16.36 in January 2016. This marks the start of an upward trend characterized by a nested impulsive structure. From this low, wave (I) peaked at $52.50, followed by a wave (II) pullback to $19.52. The ETF then resumed its ascent in wave (III), forming another impulsive pattern. Within wave (III), wave I climbed to $65.95, with the subsequent wave II correction bottoming at $25.80. The ETF has since continued its upward momentum, with wave ((1)) reaching $55.58 and the wave ((2)) pullback concluding at $41.85. As long as the ETF holds above the $16.36 level, expect further gains in the ETF.

GDXJ daily Elliott Wave view

The daily Elliott Wave chart for the GDXJ (Junior Gold Miners ETF) reveals a potential triple-nested structure emerging from the September 26, 2022 low. This structure is characterized by the sequence ((1))-((2))-(1)-(2)-1-2, as shown in the chart. It signals the potential for a robust upward move in the ETF in the coming weeks and months. The ETF should find support at the 3, 7, and 11 swing levels as long as the pivot at $26.10 holds.

Author

Elliott Wave Forecast Team

ElliottWave-Forecast.com

USD/JPY eyes August swing low, near 155.20 ahead of US NFP

USD/JPY retests the August monthly swing low during the Asian session on Friday as a more hawkish repricing of BoJ rate-hike bets and a suspected intervention continue to underpin the Japanese Yen. Meanwhile, the US Dollar is seen consolidating the previous day's heavy losses amid soft US bond yields, further weighing on the currency pair as traders keenly await the US NFP report.

AUD/USD consolidates above 0.7200; US NFP awaited

AUD/USD holds steady above 0.7200, near its highest level since mid-May, as bulls await the US NFP report for more cues on the Fed's policy path before placing fresh bets. Meanwhile, the recent decline in US bond yields keeps the US Dollar depressed near its lowest level in over a week and acts as a tailwind for the Aussie amid the RBA's hawkish tilt.

Gold bulls seem hesitant below $4,500 amid modest USD bounce ahead of US NFP

Gold remains on the defensive below the $4,500 mark through the Asian session, snapping a two-day winning streak amid a modest US Dollar uptick. The commodity, however, remains close to the weekly high, which it touched the previous day, as traders keenly await the release of the closely watched US monthly employment details. The popularly known US Nonfarm Payrolls (NFP) report will provide more cues about the Fed's policy path amid receding bets of a September rate hike.

Bitcoin clears $80,000 on reduced rate hike odds – Zcash, Ethena rise

Bitcoin is trading above $80,000 on Friday, sustaining the broader cryptocurrency market's risk-on sentiment. Federal Reserve (Fed) Governor Christopher Waller signaled support for a potential pause in interest rates on Thursday, lowering the odds of a September rate hike to 50%. Zcash (ZEC) and Ethena (ENA) emerge as top performers over the last 24 hours.

NFP preview: Can jobs data ease rate hike fears?

As we move to the end of the week, the focus shifts to the macro data, and to the strength of the labour market in the US. August payrolls are released on Friday at 1330 BST, and the market is expecting a reading of 58k. The unemployment rate is expected to remain steady at 4.1% and wage growth is expected to moderate slightly to 3% last month, down from 3.2%.

Diesel’s record $100 warning: The oil shock hiding in plain sight

The Oil market may look calmer than it did a few months ago, but diesel is sending a very different message. The US diesel crack spread, the premium of ultra-low sulphur diesel futures over WTI, recently surged above $100 per barrel for the first time, reaching an intraday record of just over $102.00.