On 4h chart of EURJPY we have seen a strong decline below the triangle line so we assume that pattern in wave B can be finished so traders may look and expect more weakness down into wave C, especially after a re-test of that broken trendline that seems to have turned into a resistance at 114-115 area.
A Triangle is a common 5 wave pattern labeled A-B-C-D-E that moves counter-trend and is corrective in nature. Triangles move within two channel lines drawn from waves A to C, and from waves B to D. A Triangle is either contracting or expanding depending on whether the channel lines are converging or expanding. Triangles are overlapping five wave affairs that subdivide into 3-3-3-3-3.
Hey Meckron. No we changed our wave count a little bit and we now see this rally up from 112.05 as start of blue sub-wave c of a triangle. Blue wave c could now find its possible reversal zone around the 116.250 area.
Meckron
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Thanks for the answer! Yeah, I got the same idea, retrace at 116, and retrace to a new low to 110 area. What you think?