USDJPY Forecast: Gartley to 2618 to V (Elliott Wave)
USDJPY has completed a bearish Gartley pattern in a corrective wave structure. The flat correction may be treated like a double bottom so that a long trade can be entered at the .618 retracement of CD, a common Gartley target. The 1.618 extension target for the 2618 trade coincides nicely with previous wave 4 resistance and serves as a nice TP zone. A short trade may be taken in the S/R zone to follow through with wave ((5))/III. SL for short is placed above wave I peak as any overlap will invalidate wave structure. Target is placed at 1.382((1))=((5)) and above previous fourth wave support. Long trade yields a R/R of about 3, where as the short trade provides a 4.22 R/R.
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.