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Originally Posted by gregorios
Hi summerset,
Is the target on eur/jpy 167.90 still valid?
By using fibo's on a daily chart with the high & the low 169.07-149.25 I come across 167.00 or just below.
Is there something I am missing?
Regards Gregorios
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Hi Gregorios,
Nice to see you around, & hope yr profiting well.
On Euroyen the 167.9 Target is still valid.
ANALYSIS:-
1- On the weekly we are correcting in a Flat or Triangle. This could either be an ABC correction after a wave 5 or a prolonged triangular 4 after a wave 3. Many will argue that if it is a flat or even one leg of a 5 swing triangle, price has already covered about 78% of leg-A, making B almost over, and ready for a plunge in C. (See Chart).
2- However, Key to us in the Trade analysis is the momentum.
On the daily chart, the index (the Wave segregation index-WSI) is showing a very strong buy signal cross with its signal line. This means that (iii) is not over, but will be an extrended impulse wave to form a double top in the 169 vicinity.(See Chart again).
3- On the 4hr, WSI is inducating a mild retraction to buy in. Possible re-entry values are 162.8, 163.3,(The 4hr trend line), & Best at 161.65. We would love to re-long at 161.65 (38.2%) retraction, because we are weary of longing high, & geting taken out on tight stops.
4- in all cases, (Even if we miss a re-long), unless there is a strong reversal signal of the 4hr WSI, and yr already long well below the 161.65 level, I would recommend to sit out the retraction, & go for 167.9. (This a 0.618 ratio between our weekly pre-calculated average fluctuation level at 166.54 & breakout fluctuation level @ 168.38).
If there is a WSI reversal signal on 4hr frame - I will let U know to close out.
If yr loaded in the 161.65 vicinity-or above, U could consider to close only partial profits, to avoid being hurt by spikes, and hold the rest as advised to 167.9
Fundamentaly, keep in mind that the Eurodollar will still be attempting 1.43/44. This will act as a catalyst to Euroyen advances attempting the double top scienario
Hope it all helps.
All the Best