CHFJPY is another instrument that has given us trading opportunity lately . The pair is showing impulsive sequences in the cycle from the September 20th low. Recently it made clear 3 waves pull back and found buyers at the blue box as we expected. In this technical blog we’re going to take a quick look at the charts of CHFJPY published in members area of the website and explain the Elliott Wave structure and trading strategy.
CHFJPY Elliott Wave 1 Hour Chart 10.24.2021
Current view suggests CHFJPY is doing 4 red correction. Pull back is showing lower low sequences and looks incomplete at the moment. We expect to get another leg down toward 123.58-123.09 area. Although expecting another leg down, we recommended members to avoid selling the pair. As the main trend is bullish we expect buyers to appear at the blue box for 3 waves bounce at least. Once bounce reaches 50 Fibs against the X red high, we will make long position risk free ( put SL at BE). Invalidation for the trade would be break below 1.618 fibs extension: 123.09
As our members know, Blue Boxes are no enemy areas , giving us 85% chance to get a bounce.
You can learn more about Elliott Wave Double Patterns at our Free Elliott Wave Educational Web Page.
CHFJPY Elliott Wave 1 Hour Chart 10.27.2021
Eventually the pair has given us leg down toward blue box as expected. Buyers appeared at the marked zone and we are getting reaction from there. The rally from the blue box reached and exceeded 50 fibs against the ((b)) black connector. As a result members who took long positions should make them risk free ( move stop loss at the entry point) and also took partial profits. As far as the price stays above current low : 123.5, we can consider 4 red pull back done however need to see break above 10/21 – 3 red peak to confirm next leg up is in progress.
CHFJPY Elliott Wave 1 Hour Chart 10.31.2021
The pair gave us marginal break below previous low and turned higher again from 123.49 level . Long trades have been stopped out at the BE, without losses. We got nice rally that has broken previous 3 red peak, confirming next leg up is in progress. Now , the pair remains bullish against the 123.495 low.
Keep in mind that market is dynamic and presented view could have changed in the mean time. You can check most recent charts in the membership area of the site. 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.
Elliott Wave Forecast
Source: https://elliottwave-forecast.com/trading/chfjpy-buying-dips-blue-box-area/