Wednesday February 21 at 4:30 ET
My last comment was "A short opportunity may therefore present itself on a rise to about 236.00 with a completed wave structure." The recent high is 236.16. This may be the fulfilment of this prediction. However, a conservative interpretation of the wave pattern indicates the possibility of one more pulse upwards to 236.60.
Trade Experiment #348 Sell GBP/JPY at 236.60
Stop is 237.15
Target is 234.00
Risk is 64 pips
Reward is 251 pips
RRR is 3.9 to 1
Confidence level: good
Accuracy: fair
Reward / Risk Ratio : fair
For research purposes only.
Wave hypothesis : Wave 4 down - not the best trade. Trading Wave 5 up will be a better trade set-up.
Progress report: GBP/JPY fell from the recent high at 236.16 to 235.48, at which time the BOE interest rate decision sent GBP/USD tumbling, which pulled GBP/JPY down to 235.17. There is still a chance that a strong bounce of GBP/USD coupled with a continued rise of USD/JPY can lift GBP/JPY to the entry price of our trade experiment, though this chance is diminished by the impact of the BOE announcement.
My last comment was "A short opportunity may therefore present itself on a rise to about 236.00 with a completed wave structure." The recent high is 236.16. This may be the fulfilment of this prediction. However, a conservative interpretation of the wave pattern indicates the possibility of one more pulse upwards to 236.60.
Trade Experiment #348 Sell GBP/JPY at 236.60
Stop is 237.15
Target is 234.00
Risk is 64 pips
Reward is 251 pips
RRR is 3.9 to 1
Confidence level: good
Accuracy: fair
Reward / Risk Ratio : fair
For research purposes only.
Wave hypothesis : Wave 4 down - not the best trade. Trading Wave 5 up will be a better trade set-up.
Progress report: GBP/JPY fell from the recent high at 236.16 to 235.48, at which time the BOE interest rate decision sent GBP/USD tumbling, which pulled GBP/JPY down to 235.17. There is still a chance that a strong bounce of GBP/USD coupled with a continued rise of USD/JPY can lift GBP/JPY to the entry price of our trade experiment, though this chance is diminished by the impact of the BOE announcement.