After reviewing USDJPY again I think we're going to see a rally up to 102.35 to close out the week. I'm looking for a hanging man candle to form on the weekly chart which will offer bears optimal entry around 102.35 on Friday right before the close.. I expect the next 2 Days will be very strong up days for this pair. If this hanging man candle that I'm looking for forms on the weekly chart there is going to be some really big down side thrusting in following weeks and 102.35 area is very good risk to reward area since risk can be contained to 103.40 so if we can load up on short positions around 102.35 we're sitting very pretty for a very big down side move in coming weeks.
Hi Brad, any reason why the USD/JPY should see a bounce to 102 in the next two days?? Would a drop to 95ish to end the week be an alternative, ofcourse nothing is guaranteed but just curious to know your reason behind an up move...
nasdaq looks like it is forming a triangle.
One more day and it should break. If not Friday, then next week.
Next drop will be around 400 points at least. That will complete wave 1 of 3.
But there is a long way down yet. We havent even come close to the lows of 2002, never mind REAL DROP. That will come soon, though.
It's been challenging keeping up with these overextended moves. I have an update, as I believe we are now in (v) of (v) of 5 down, that could potentially end around 1.60 area.
nasdaq looks like it is forming a triangle.
One more day and it should break. If not Friday, then next week.
Next drop will be around 400 points at least. That will complete wave 1 of 3.
But there is a long way down yet. We havent even come close to the lows of 2002, never mind REAL DROP. That will come soon, though.
Hi Big Mike, agree totally with the triangle formation, and a similar pattern is on the Dow as well, which targets Dow towards 6000's level soon! But Brad's idea of a bounce in USD/JPY is a bit scaring, since if JPY will reach 102ish by Friday, then we may see a good bounce in US Stock markets tomorrow and day after!
Hi Brad, any reason why the USD/JPY should see a bounce to 102 in the next two days?? Would a drop to 95ish to end the week be an alternative, ofcourse nothing is guaranteed but just curious to know your reason behind an up move...
Basically I'm eye-balling how the candles should line up on the weekly chart and from that alone I can say I don't think this week has the power to stay as low as it has gone without a substantial bounce higher first. I've seen this hanging man formation occour in other YEN crosses before those pairs ripped into the down side as well, so that also makes me confident that we'll see it here too.
Even if USDJPY can't get back up to 102.00-103.00 .. I say it's still going to come back up to around the 100.25 mark. The close of this week will be very important and will leave me with more to work with...
If I see this pair sitting around 102.35 - 103.00 on Friday right before the close I'll be plowing into short positions..
Basically I'm eye-balling how the candles should line up on the weekly chart and from that alone I can say I don't think this week has the power to stay as low as it has gone without a substantial bounce higher first. I've seen this hanging man formation occour in other YEN crosses before those pairs ripped into the down side as well, so that also makes me confident that we'll see it here too.
Even if USDJPY can't get back up to 102.00-103.00 .. I say it's still going to come back up to around the 100.25 mark. The close of this week will be very important and will leave me with more to work with...
If I see this pair sitting around 102.35 - 103.00 on Friday right before the close I'll be plowing into short positions..
Brad some good calls , i wonder if you can shed some light on what may happen to GBPJPY should USDJPY drop down to your targets.
i have attached my chart , some may recall i posted this chart a few months back when we were atrading around 2.11.
gbpchf 1min..
could be the end of a B of a flat correction, on 1h chart it never closed below the last low.
actually a shot higher would open a target around 2,10..? but that sounds unlikely.. for now.
text of Adam & Eve Bottom is from Alan Farley - Pattern Cycles.
edit: flag, A&E, Diamond Top.. all broken. whew! initial target would be 1,90..
grr.. those glitches are driving me mad!
Hi Big Mike, agree totally with the triangle formation, and a similar pattern is on the Dow as well, which targets Dow towards 6000's level soon! But Brad's idea of a bounce in USD/JPY is a bit scaring, since if JPY will reach 102ish by Friday, then we may see a good bounce in US Stock markets tomorrow and day after!
If i apply classical EW theory, I can see USDJPY move back to its wave 4 of lesser degree, which will give us the corrective target of 98.50-99.0
Under current conditions, I would be surprised, if it moves higher than 100.
same here.
my stop is at 99,4. (edit: moved to 98,25)
also 97,9 (previous low) is now resistance, one could actually aplly a breakout strategy shorting..
same here.
my stop is at 99,4. (edit: moved to 98,25)
also 97,9 (previous low) is now resistance, one could actually aplly a breakout strategy shorting..
This my recent observation in USDJPY.
As my personal comment, in fact, i like triangles. They form a distinctive pattern and offer a clear target of "at least so-many pips"
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