The sheikh has spoken on the Voice of Radio in Sydney thanking his supporters for their faith but urging them not to attend the unofficial rally at Lakemba.
"He just called for people not to go, not to participate in the rally which doesn't show our way of faith," said Moussab Legha, a cleric at the radio station.
"He said everyone should be cooled down."
Mr Legha said the sheik will be attending Friday prayers at Lakemba Mosque tomorrow and has asked Muslims to show their support by joining him there.
Thousands of Muslims had been marshalled to attend a rally on Saturday by text messages and emails, but Mr Legha said all clerics had tried to stop the unofficial demonstration.
The sheik has been under fire to step down as Australia's senior Muslim cleric following his comments in a sermon last month in which he suggested immodestly dressed women invited sexual assault.
'Time running out'
Prime Minister John Howard says time's running out for the Islamic community to take action against Sheikh Elhilali.
Sheikh Elhilali has been under pressure to resign after he compared scantily clad women to uncovered meat and has taken indefinite leave from preaching at Lakemba mosque in Sydney.
But the prime minister says the failure of the Muslim community to resolve the issue is doing damage.
He's told Sky News he's not concerned by reports supporters of Sheikh Ehilali are going to rally outside his mosque on Saturday.
Calls for end to saga
Muslim community groups have banded together to call for an end to what they say is an overblown public scrutiny of the sheikh’s comments on sexual attacks.
In a joint statement, 34 Muslim community groups claim the media and politicians have used the scandal surrounding the mufti to vilify Australian Muslims.
They say Sheikh Elhilali’s recent unreserved apology for referring to women as uncovered meat, should've been an end to the furore.
The statement urges media and politicians to heed the advice of Australian Federal Police Commissioner Mick Keelty and exercise moderation in covering the sheikh's comments.
Mr Keelty last week warned such coverage risked creating a generation of Australians with a bias against Muslims.