MAT: Expect short term weakness before turning higher

Mattel, Inc. (MAT), a children’s entertainment company, designs & produces toys & consumer products worldwide. The company operates through North America, International & American Girl segments. It is based in El Segundo, CA, comes under Consumer Cyclical sector & trades as “MAT” ticket at Nasdaq.

In the previous article, MAT expected to extend lower in ((C)) of wave II correction. It expected to extend towards $18.23 – $14.54 area in zigzag correction before turning higher. It already reached that area & still expect small downside to finish wave II before turning higher.

MAT – Elliott Wave view from 9/27/2022

It placed ((1)) at $9.44 high & ((2)) at $7.54 low. ((2)) was a flat correction retraced 0.618 Fibonacci level against ((1)). While above there, it extended higher in third wave extension. It ended ((3)) at $23.31 high on 4/23/2021. Below there, it favored ended ((4)) at $17.95 low on 10/04/2021. ((4)) was ended slightly above 0.382 Fibonacci retracement of ((3)). Finally, it ended ((5)) at $26.99 high on 5/04/2022 as wave I red as impulse sequence. While below there, it favors correcting lower in II in zigzag correction.

MAT – Elliott Wave latest Weekly view

Below wave I high, it placed ((A)) at $21.07 low on 5/24/2022 & ((B)) at $24.20 high as triangle on 9/12/2022. While below there, it favors lower in ((C)) leg to finish II correction. It already reached the extreme areas between $18.23 – $14.54 as expected in previous article. But it still expects weakness to continue. It favors bounce in 2 of (5) before turning lower in 3 & expects at least two more lows, while bounce fails below (4) high. Later, it expects to resume upside either in III or at least a larger 3 swings reaction higher.

MAT – Elliott Wave latest daily view