Elliott Wave Analysis - German DAX and USDJPY

Elliott Wave Analysis – German DAX and USDJPY

FX market did not go far in the last few sessions so our view remains the same. We see USD and stocks in an uptrend and it seems that this could continue soon. However, maybe we will have to wait till 13.30GMT to the US Building Permits, and more importantly, the FOMC meeting Minutes later today at 19.00GMT.

German DAX

German Dax rallied close to 11000 yesterday before market turned down for nearly 100 points. We see this intraday retracement as a corrective wave within a larger uptrend, so it may turn out that wave four as part of an ongoing wave 5). Ideally, market will find a support later today near 10850.

German DAX, 1H

USDJPY

USDJPY is slow in the last 24 hours, probably making an expanded flat correction in wave ii that can see a move down to around 123.00/123.10 area from where we expect a new turn to the upside. Invalidation level is at 122.22; as long as this one holds, the trend is up.

USDJPY, 1H

A Flat is a three-wave pattern labeled A-B-C that generally moves sideways. It is corrective, counter-trend and is a very common Elliott pattern.

Basic Flat Pattern:

Gregor Horvat

Grega Horvat Grega is based in Slovenia and has been involved in markets since 2003. He is the owner of Ew-Forecast, but before that he was working for Capital Forex Group and TheLFB.com. His feature articles have been published on FXstreet.com, Thestreet.com, Action forex, Forex TV, Istockanalyst, ForexFactory, Fxtraders.eu, Insidefutures.com, etc. He recently won the award on FXStreet.com for Best Forex Analysis in 2016. At Ew-forecast he helps clients and educates them about the Elliott wave principle and how to label and track unfolding patterns in real time. His approach to the markets is mainly technical. He uses a lot of different methods when analyzing the markets such as candlestick patterns, MA, technical indicators etc. His specialty, however, is Elliott Wave Theory which could be very helpful especially if you know how to use it in combination with other tools/indicators. EW-Forecast To be involved in the market effectively, you need the right guidance and resources, and our team can help you to achieve that. Our team is providing advanced informations about Elliott Wave theory in real time. The Elliott Wave Principle gives you a method for identifying the behavior of the markets and at what points the market is most likely to turn. We help new traders who are interested in Elliott Wave theory to understand it correctly. We are doing our best to explain our views as simple as possible with educational goal, because knowledge itself is power!

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