Late in U.S. session on Tuesday, we took a GBPUSD short based on an Elliott Wave analysis - with an entry triggered on a bearish divergence we noticed on 1H chart. Entry was triggered at 1.9980, on the break of the consolidation area (also divergence trendline break) around the 50%-61.8% of the divergence area.
Stop was set at 2.0014 (previous peak) and the targets down at 1.9925 and 1.9840 (swing target based on EW projection).
Still into this one, on small profit for now, looking forward for a larger move to confirm our position.
Again, we attempt a small long on USDCAD, buy from 1.0726 on ICWR - stop at 1.0685. Open target, will be looking for a possible break out of channel on the upside.
The trade went on negative for the larger part of the day, now looking better - will be looking to add to this position ONLY after a clear confirmation of a move up.
We took a long on USDJPY yesterday late U.S. session, ICWR/123 formation, divergence present. Trade went in our favor, and we were able to shift stops closer to the entry - which unfortunately were hit in Asian session early in the Yen rally.
We covered our losses quickly for both our positions.
Actually, this might just give us a better opportunity to go long on usdjpy again - with bigger potential profit - we will be focusing on the setups we get during the next hours...
Based on an Elliott Wave analysis and taking advantage of multiple bearish divergences on daily, 4h and 1h charts, we placed a sell order on USDJPY from 122.90, 2 lots.
The entry is based on the observation that on 1h chart the divergence seems to be confirmed by a move of the price towards a 75% of the wave drawn by the low and high of the divergence area. The entry will be triggered by a break of the trendline plotted from the divergence area low to the current retracement low. A sustained break of 122.73 will also confirm the bearish hidden divergence on 4h chart later.
Targets are set: 1) at 161.8% of the distance between the divergence area high and low, and 2) at 121.75 (mid-term target according to EW projections).
Later in the US session today we took a long on GBPJPY, 2 lots from @246.57 & 246.40. The trade was triggered by an Elliott Wave analysis combined with a divergence setup pointing in the same direction.
We entered at the break of a trendline, and the second lot was filled a little later, when price tested the same trendline and found support on it. First lot target was hit at 247 (+43 pips), second lot closed at the same level (+59) as we noticed certain price patterns after price reached our primary target (127% of the distance between the divergence area high and low).
Definitely the LTR members observations were critical for the decision of taking this trade...
The trade went just as planned - closed first lot in the NY LTR before the news at 10:00 EST, and the second lot once the wave reached below the previous low at 122.20.
We will be expecting wave B red corrective (which may already be on the way) to be over, then look for another short for a target of at least 121.54 (127% of the wave A red down, which is now probably complete).
We decided to take profits now, at the end of the 5 black waves formation, and possibly re-enter short at the beginning of wave C red. This should maximize the profits for trading the entire setup.
Now that we got out of the nice USDJPY short trade, what can we expect?
If the overall wave perspective is correct, then I would expect a rally up in usdjpy, which might reach 123.50 in the following sessions. That is because wave 4 down light blue (composed of the A-B-C red waves) could be a flat, which points to a large wave B red, which must retrace at least 70% of wave A red... Only then a new wave C could be under way, and that is where the yen is supposed to make the largest gains... Are we currently embarked on wave B red? If we are, we must hold on, as we should be in for quite a ride...
This observation does not alter the overall bearish view for the pair... It's just that the current retracement could go higher than some expect it to...
We'll keep this under watch - could we look for a long tomorrow? Don't go too far...
if you inform us about your achievement yesterday GBP/JPY,
would you kindly tell us what is your USD/CAD doing today, I mean how long gas it gone?
Trading is an average success but not 1 time.
I have lost accounts, I was dismissed, betrayed, I was fired, I have made false entries many times - Thats why I am successful now.
Follow-Up - Trade Closed, +89 pips total
EURGBP trade closed, -6 pips
GBPUSD Short - possible swing trade
Tuesday USDJPY long - position closed, -22 pips
2007-07-02, 15:34 GMT - GBPJPY Long - Target Reached, + 102 pips
Next Movement in USDJPY - setting up a long?
Mihai
Linear Mode
