Our last NZDJPY analysis was invalidated and did not get triggered for entry. Since then, we went back to the drawing board and realised that we're still within Wave 5. Wave 5 is made up of 5 subwaves and we are currently on the 4th subwave, which is an ABC correction. We are now trading the C leg of this correction.
SHORT Trade Idea: - Watch for rejection of fibonacci - Enter on trendline break with stops above the recent highs - Targets: 80 (550pips), 78.6 (700pips)
LONG Trade Idea: - Watch for the ABC correction to complete above the wave 4 invalidation level (blue structure) - Once bullish price action appears, enter with stops below the lows - Targets: 85 (700pips), 87.3 (900pips) 89 (1050pips)
See below for lower timeframe analysis. Break of orange trendline = risk entry Break of red trendline = safe entry
One question:in this C wave (of wave 4)are we expecting a 5 wave move?
WicktatorFX
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@Sobhan_23, Great question. Yes. This ABC correction is a 3-3-5 Flat correction. A and B are 3 waves and C is 5 waves
Sobhan_23
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@WicktatorFX correct thought,Although I learned a lot about Elliot wave theory ,I don’t use it much often Thanks pal,and if it’s possible be more active,you had a great position in gold recently too,I had the same trade but closed it at Friday ,I’m in your telgram channel too.keep it up pal