SPDR consumer staples ETF ( $XLP ) found buyers at the blue box area

Elliott Wave Forecast Team ElliottWave-Forecast.com

Hello everyone. In today’s article, we will look at the past performance of the 4H Hour Elliott Wave chart of SPDR Consumer Staples ETF ($XLP). The rally from 5.31.2024 low unfolded as 5 waves impulse. So, we expected the pullback to unfold in 3 swings and find buyers again. We will explain the structure & forecast below:

Five Wave impulse structure + ABC correction

$XLP four-hour Elliott Wave chart 10.03.2024:

Here is the 4H Elliott Wave count from 10.03.2024. The 5 wave impulsive cycle from 5.31.2024 ended on 9.16.2024 at blue (3) and started a pullback. We expected the pullback to find buyers at the blue box area at 81.33 – 80.00 in 3 swings.

$XLP four-hour Elliott Wave chart 10.15.2024:

Here is the latest 4H update from 10.15.2024, showing the bounce taking place as expected. The cycle from the peak at blue (3) has ended and the ETF has reacted higher from the blue box area allowing longs to get risk free. The ETF is expected to remain supported with a target area towards $85 – 87 area before another pullback can happen. Alternatively, the bounce can fail and continue lower in a 7 swings correction so chasing now can be risky. A break of blue (3) high will confirm the next leg higher and negate the possibility of a double correction.

Author

Elliott Wave Forecast Team

ElliottWave-Forecast.com

EUR/USD deflates to fresh lows, targets 1.1600

The selling pressure on EUR/USD now gathers extra pace, prompting the pair to hit fresh multi-week lows in the 1.1625-1.1620 band on Friday. The continuation of the downward bias comes in response to further gains in the US Dollar as market participants continue to assess the mixed release of US Nonfarm Payrolls in December.

GBP/USD breaks below 1.3400, challenges the 200-day SMA

GBP/USD remains under heavy fire and retreats for the fourth consecutive day on Friday. Indeed, Cable suffers the strong performance of the Greenback, intensified post-mixed NFP, and trades at shouting distance from its critical 200-day SMA near 1.3380.

Gold flirts with yearly tops around $4,500

Gold keeps its positive bias on Friday, adding to Thursday’s advance and challenging yearly highs in the $4,500 region per troy ounce. The risk-off sentiment favours the yellow metal despite the firmer tone in the Greenback and rising US Treasury yields.