CHFJPY SELL NOW

May 1

In this CHFJPY 1-hour chart, Elliott Wave Theory suggests a promising SELL opportunity. The chart displays a completed impulsive five-wave sequence culminating in a peak at wave (5), followed by an apparent initiation of a corrective phase.

The price movement has already formed wave (a) of the corrective phase and is now seemingly in the midst of wave (b), which appears to be stalling or nearing completion. According to Elliott Wave principles, after wave (b), we should expect a significant move downwards in wave (c), which often extends to the 0.618 or even 1.000 Fibonacci retracement level of the prior impulsive sequence.

The potential targets for wave (c) are at 168.920 (0.618 Fibonacci level) and could extend down to 166.835 (1.000 Fibonacci level). These levels are calculated from the entirety of the upward move that wave (5) concluded, offering logical points for the corrective wave to potentially exhaust.

Given the formation on the chart, a SELL strategy would be prudent around the current level or slightly higher, anticipating a decline towards these Fibonacci levels. Placing a stop-loss just above the high of wave (b) provides a risk-managed approach to capturing the potential downtrend.

This setup requires close monitoring to confirm that wave (b) has indeed topped out and that wave (c) is progressing as anticipated. Adjustments to stops and targets may be necessary based on the unfolding price action and market dynamics.

May 2

Trade closed: target reached