Elliott wave Analysis: USDMXN and CADJPY Update


USDMXN is still trading in a correction of wave 4 despite that bigger wave »c« recovery. The most important thing is that we have a triangle in wave »b« and we know that triangles cannot occur in wave 2, so it must be a correction! Anyhow, we remain bearish here for wave 5 towards new lows, but if we are surprised by an impulsive continuation higher towards 20, then our count would be invalidated.


CADJPY has a pretty clear bearish setup after that impulsive five-wave decline from the highs and a current slow three-wave a-b-c corrective structure. So, watch out for a bearish turn here around ideal 61,8% Fibo. retracement and 83.35 resistance level, but only while price is trading below 83.95 invalidation area.


Get the 5 most predictable currency pairs

About Author

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!

Comments are closed.