EUR/JPY
The odds still favor, that the X-wave did terminate with the test of 121.83 yesterday, but we still need a break below 120.40 to confirm, that the third and last zig-zag combination is unfolding. For the short term I'm looking for resistance at 121.48 to protect the upside for a break below 120.81 and of cause more importantly a break below 120.40, which confirms, that the last decline since the 127.70 high is unfolding for a move down to my ideal target at 117.28, where wave 4 will have corrected 38.2% of wave 3. That said, any break above 121.48 will delay the downside pressure for one last push higher to 122.74 before the next decline sets in.
I'm looking for a very powerful decline unfolding any time soon now. A break below 1.5776 will likely be the catalysts for for this decline, until we break below 1.5776 will must accept a more or less directionless trading between 1.5776 and 1.5847, but once support at 1.5776 gives away we should be looking for a decline to at least 1.5638 and will not be surprised to see this level break without a fight for a continuation lower towards 1.5509. That said, we must be aware of the possibility for a move above 1.5847, but it will likely only be to 1.5867 before the downside pressure takes over again.
once a time you wrote that if euro break this suport line 1,2990 will open door for a decline to 1,18!!
ReplyDeleteDo you think today was that day?
Hi Zink,
ReplyDeleteI would like to see a close below 1,2990, but yes I do think this was the signal, that wave e of the B-wave triangle ended at 1.3711 and wave C now has taken over and we should see a much deeper decline over the coming months.
Kind regards
EWS
what about eurjpy? Do you still thinking that it will go down to 117,20? I think its building a bull flag...
ReplyDeleteThanks for your posts and have a great weekend
ReplyDeleteBest Regards jt
Hi Zink,
ReplyDeleteNo change in my call for a move closer to 117,28, but remember all I looking for i a correction and once it's over we will see a new rally to above 127.70.
I don't think there is any difference in our view. You just call in a bull flag and I call it wave 4. The final outcome will be the same in form of a rally once the bull flag/wave 4 is over.
Kind regards
EWS
When i told you bull flag was in short time frame...and eurojpy rise !!!so far didnt break down...but i hope you are rigth
ReplyDelete