USDJPY Market Analysis and Trading Strategies.
*Personal Opinion
Waveforms of each time leg
Monthly
Uptrend, currently in an adjustment phase at the end of the 3rd wave.
Weekly
It rebounded at the last push low of the uptrend and entered the triangle without renewing the high low.
Currently at the lower limit of the triangle, the third point of the rebound.
Daily
This is the 5th wave of a downtrend or the 2nd wave of an uptrend adjustment.
Shorting for a 5th wave at the daily level is risky as we are halfway to the 4th wave.
4-hour
The last push low of the uptrend was exited at the candlestick entity level.
Assumed to be currently in the second wave of downward adjustment.
Hourly
The last return high of the downtrend was broken slightly higher and switched to the upside.
We will see if we are going to make a 4-hour adjustment 2-wave.
Trade Strategies
Strategy①
Riding the daily downward trend to take out the 3 waves of the 4-hour downward Elliott wave.
It is important to identify the two waves.
Short entry after confirming that the uptrend has been broken on the hourly.
Strategy②
Ride the 1-hour rise to take out the 2 waves of the 4-hour downside adjustment.
Look for an uptrend on the short term leg and buy on the push.
Target the horizontal line that seems to be conscious on the hourly to take profit.
Postscript Trade Strategies
Strategy①
An hourly up 1 wave has occurred and we will go for 3 waves after the adjustment.
We will look at the short-term leg that formed an adjustment 2-wave, confirming a trend reversal and entering long.
Looking at the bigger picture, it may be safer to take a humble profit since we are going to take out the 2 downward 4-hour waves.
Ideally, we should take out the rising 3 waves of 15 minutes within the rising 3 waves of 1 hour.
