HomeContributorsTechnical AnalysisCAD/JPY Starts Next Bullish Leg

CAD/JPY Starts Next Bullish Leg

Short term Elliott Wave view on CADJPY suggests that the rally to 82.4 on Jan 9, 2019 ended wave (W). Pair then corrected in wave (X) as a double three Elliott Wave structure and the dip ended at 81.25. Down from 82.4, wave W ended at 81.42, wave X ended at 82.17, and wave Y of (X) ended at 81.25.

Since then pair has made a new high above wave (W) at 82.4 suggesting that the next leg higher in wave (Y) has started. The rally from 81.25 can unfold in various structures. We propose a 5 waves impulse Elliott Wave structure in the rally higher. Up from 81.25, wave ((i)) ended at 82.07 and wave ((ii)) ended at 81.5. Wave ((iii)) is in progress and should subdivide as another impulse of lesser degree. Two more highs in wave ((iii)) and wave ((v)) should happen before wave A ends.

Afterwards, it should pullback in wave B to correct the cycle from 1/14 low (81.25) before the next leg higher starts. As far as the pullback stays above 81.25, we expect pair to extend higher within wave (Y). Next potential target is 61.8 – 76.4 Fibonacci extension of (W)-(X) at 84.9 – 85.75.

CADJPY 1 Hour Elliott Wave Chart

Elliott Wave Forecast
Elliott Wave Forecasthttps://elliottwave-forecast.com
ElliottWave-Forecast has built its reputation on accurate technical analysis and a winning attitude. By successfully incorporating the Elliott Wave Theory with Market Correlation, Cycles, Proprietary Pivot System, we provide precise forecasts with up-to-date analysis for 52 instruments including Forex majors & crosses, Commodities and a number of Equity Indices from around the World. Our clients also have immediate access to our proprietary Actionable Trade Setups, Market Overview, 1 Hour, 4 Hour, Daily & Weekly Wave Counts. Weekend Webinar, Live Screen Sharing Sessions, Daily Technical Videos, Elliott Wave Setup videos, Educational Resources, and 24 Hour chat room where they are provided live updates and given answers to their questions.

Featured Analysis

Learn Forex Trading