Hello fellow traders. In this technical blog we’re going to take a quick look at the Elliott Wave charts of EURJPY, published in members area of the website. As our members know the pair is showing impulsive bullish sequences in the cycle from the October’s low. Consequently , we were calling for the further rally in the pair. Recently EURJPY made a pull back that has had a form of Elliott Wave Zig Zag pattern. In the further text we are going to explain the Elliott Wave Pattern and the forecast
Before we take a look at the real market example, let’s explain Elliott Wave Zigzag.
Elliott Wave Zigzag is the most popular corrective pattern in Elliott Wave theory . It’s made of 3 swings which have 5-3-5 inner structure. Inner swings are labeled as A,B,C where A =5 waves, B=3 waves and C=5 waves. That means A and C can be either impulsive waves or diagonals. (Leading Diagonal in case of wave A or Ending in case of wave C) . Waves A and C must meet all conditions of being 5 wave structure, such as: having RSI divergency between wave subdivisions, ideal Fibonacci extensions and ideal retracements.
If you are new to Elliott Wave we recommend you to check out our Free Elliott Wave Educational Web Page and download our Free Elliott Wave Book.
At the chart below we can see what Elliott Wave Zig Zag pattern looks like in real market.
EURJPY H1 London Update 10.14.2023
EURJPY ended cycle from the 154.31 low as 5 waves structure. The pair is currently giving us pull back against the 154.31 low. First leg has a form of 5 waves, so we assume pull back is unfolding as Elliott Wave Zig Zag Pattern. That means both (a) and (c) legs should have 5 waves . We expect to see another marginal push down toward Equal legs area: 157-156.35, which will make 5 waves in (c) leg as well. We don’t recommend selling the pair and expect further rally to resume from the buyers zone.
Reminder : You can learn more about Zig Zag and other Elliott Wave Patterns at our Free Elliott Wave Educational Web Page.
EURJPY H1 London Update 10.24.2023
The pair has given us nice rally from the marked extreme zone which has made break toward new highs. Now, as far as the price holds pivot at 156.9 low intact we expect to see further strength in the pair. Short term pull back (ii) blue can be in progress , when now about to end first leg a of (ii)
Keep in mind that market is dynamic and presented view could have changed in the mean time. You can check most recent updates in the membership area of the website. Remember that not every chart is trading recommendation. Best instruments to trade are those having incomplete bullish or bearish swings sequences. We put them in Sequence Report and best among them are shown in the Live Trading Room. You can check most recent charts in the membership area of the site.
Source: https://elliottwave-forecast.com/elliottwave/eurjpy-found-buyers-elliott-wave-zig-zag/