We have seen the expected breakdown from the b-wave triangle and are now looking for a continuation down to at least 128.25, but we still think a more likely target will be close to 125.87 for wave c. However, that would not be enough to fulfill our wave 2 target at 118.73 so it is more likely than not, that the decline from 133.81 down to 125.87 only will be the first zig-zag correction and that we will see at least one more or maybe even two more. That said, we should stay focused towards the downside and look for a break below 129.93 as the trigger for the next decline towards 128.25 and likely 125.87. Until we see the break below 129.93 we expect resistance at 130.48 will protect the upside.
Green wave iii ended a little earlier than we expected and green wave iv became a little deeper than expected, but that does not change the overall picture, that more upside is coming. As the target for green wave v and only blue wave iii we are looking for 1.6452 and possibly even 1.6530 before blue wave iv takes over for a minor correction. As blue wave ii was a deep and quick, we should expect blue wave iv to be shallow and take more time, but our main focus should be towards the upside the hole time as we are in the middle of wave 3 and even though corrections can be difficult to for-tell, they tend to be minor or even sub-normal.
Hi!
ReplyDeletewhat about eurusd?it seems it want to go more up...what you think?
thanks a lot!
Hi Zink,
ReplyDeleteI still think we should be close to a top, but will like to see a break below 1.2940 as confirmation.
A break below 1.3144 will be the first warning, that a top might be in place, but a break below 1.2940 is needed to confirm the top.
Kind regards
EWS
Hi EWS eurjpy corrected alot higher than expected 78.6 of last 3 wave down in 4hr looks like a good level to short 130.90 or do you think going up some more
ReplyDeleteBest Regards jt
Hi JT,
DeleteI must say I was surprised to see the small break below 130.19, but as I said in my post we could well be looking at a much more complex correction from 133.81.
Selling close to 130.90 with a stop at 132.15 should be okay in terms of risk/reward in my view.
Kind regards
EWS
Hi EWS,
ReplyDeleteJPY pairs weaken than expectation, USDJPY break above 100 have mess up the whole trend. What is your think of AUDJPY W3 still valid? if EURJPY can reach 128 so that AUDJPY bottom is?
Hi Juan,
DeleteI could easily see AUD/JPY Down to 93.60 in a correction, without doing any damage to the uptrend.
I don't know if EUR/JPY at 128 will mark a bottom for AUD/JPY and you should know, that I'm looking for a much deeper decline in EUR/JPY still, but how that will influence AUD/JPY I simply don't know. If you want to know where AUD/JPY is going, then look at AUD/JPY and forget about the rest, because it will not help you in any way, it's more likely to throw you of cours rather than keeping you on the rigth track.
Kind regards
EWS
Thanks EWS advice, i should focus to AUD/JPY pair rather than bother by other jpy pairs movement.
Delete