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.