Spider's Den

GBP/USD Breaks Triangle Pattern with Strong Wave-3 Momentum

https://admiralmarkets.com/analytics...ave-3-momentum - Your capital is at risk

GBP/USD
4 hour
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The GBP/USD bounced again at the support level (blue line) of the contracting triangle chart pattern and broke above resistance (red dotted). Price could now potentially retest the larger resistance trend line (brown) as part of wave C (blue).
1 hour
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The GBP/USD broke above resistance (dotted red) and picked up momentum as part of a wave 3 (grey). The wave 4 (grey) should typically not retrace deeper and beyond the 50% Fibonacci. The next higher high is probably part of wave 5 (grey) of wave 3 (purple) after which a new wave 4 (purple) could retrace back to the previous wave (grey) and bounce for one more wave 5 (purple).

EUR/JPY Bearish ABCD Pattern in Progress

USD/JPY Testing Deep 88.6% Fibonacci Level at 112

https://admiralmarkets.com/analytics/wave-analysis/usd-jpy-testing-deep-88-6-fibonacci-level-at-112 - Your capital is at risk

USD/JPY
4 hour
https://fxmedia.s3.amazonaws.com/art...02-2017uj4.png
The USD/JPY is probably in a wave 1-2 (blue) unless price breaks below the bottom of wave 1 (blue). A larger ABC (brown) could be taking place within wave 2 (blue). A wave 2 (blue) correction typically last between 100% and 161.8% of wave 1 (see bottom scale).
1 hour
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The USD/JPY is respecting the 88.6% Fibonacci retracement level of wave 2. A break above resistance (orange line) could indicate that the correction is finished.

EUR/USD, GBP/USD Setup Bullish ABC Zigzag to 1.07 and 1.25

https://admiralmarkets.com/analytics...-1-07-and-1-25 - Your capital is at risk

EUR/USD
4 hour
https://fxmedia.s3.amazonaws.com/art...02-2017eu4.png
The EUR/USD is building a WXY correction (blue/green) within wave 2 (purple) unless price breaks above the 100% level of wave 2 vs 1 (purple) which invalidates the wave structure. The Fibonacci retracement (purple) levels are potential bouncing spot and reversal levels.
1 hour
https://fxmedia.s3.amazonaws.com/art...02-2017eu1.png
The EUR/USD is building an ABC (blue) zigzag correction unless price breaks below the 100% level of wave B vs A (invalidation).

US Dollar Regains Control and Starts Bullish Wave-3

https://admiralmarkets.com/analytics...bullish-wave-3 - Your capital is at risk

USD/JPY
4 hour
https://fxmedia.s3.amazonaws.com/art...03-2017uj4.png
The USD/JPY challenged the bottom of wave 1 (blue line) and invalidation point of the wave structure but did not break below it. The wave 1-2 (blue) therefore is still valid. Price has broken above the resistance (orange line), which could indicate that the bearish correction has been completed.
1 hour
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The USD/JPY has broken above the resistance (orange line), which could indicate that the bearish correction has been completed.

GBP/USD Bullish Pullback to 1.2325 within Bearish Momentum

https://admiralmarkets.com/analytics...arish-momentum - Your capital is at risk

GBP/USD
4 hour
https://fxmedia.s3.amazonaws.com/art...03-2017gu4.png
The GBP/USD continues with its bearish breakout which could be part of a wave 3 (blue). Price is at the 100% Fibonacci of wave 3 vs 1 (blue) but it would need to reach the 161.8% Fib target before a wave 3 (blue) becomes more likely.
1 hour
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The GBP/USD is showing bearish price action but a minor pullback could occur. If price does bounce then a bullish retracement could reverse at one of the resistance levels (orange). A break, however, above 1.2350 could indicate bearish weakness. A bearish bounce at 1.2275-1.23-1.2325-1.2350 zone could indicate a wave 4-5 (pink) within wave 3 (orange).

Yesterday during live analysis and live setups Nenad gave us setup for EURGBP...it was pending order with given entry level which got triggered over night.
This is some scary precision from Tarantula!! Amazing
Thanks Nenad

GBP/JPY is at a Crossroads

EUR/USD Tests 1.05 Support of Consolidation Zone

https://admiralmarkets.com/analytics...olidation-zone - Your capital is at risk

EUR/USD
4 hour
https://fxmedia.s3.amazonaws.com/art...03-2017eu4.png
The EUR/USD must break below the previous bottom (green line) before a continuation of the downtrend (waves 3) becomes more likely. If price breaks above resistance (orange) then price could extend the wave 2 (purple).
1 hour
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The EUR/USD is at a bullish bounce or bearish break spot now price has arrived at the previous bottom (green).

GBP/USD Bounces at Channel Bottom and Retraces in Wave-4

https://admiralmarkets.com/analytics...aces-in-wave-4

GBP/USD
4 hour
https://fxmedia.s3.amazonaws.com/art...03-2017gu4.png
The GBP/USD bearish channel is neatly indicated by the trend lines (red). Price bounced at the bottom of the channel and is now approaching the top of the channel which typically acts as resistance. A bearish bounce could see price fall towards the Fibonacci levels of waves 3 (green) whereas a bullish breakout could see price challenge the Fibonacci of wave 4 vs 3. A break above the 61.8% Fib invalidates the wave 4 (blue).
1 hour
https://fxmedia.s3.amazonaws.com/art...03-2017gu1.png
The GBP/USD retracement is in a wave 4 (blue) which typically retraces back to the 23.6% - 38.2% - 50% Fibonacci zone. A break above the 61.8% Fibonacci level invalidates this wave 4 (blue). A break below the support trend line (green) could see price continue with wave 5 (blue) within wave 3 (green) of the 4 hour chart.
- Your capital is at risk

GBP/USD Bullish SHS but Still in Downtrend

Attached Image (click to enlarge)

EUR/USD Five 0 Pattern Marks Two Way Trading

EUR/USD Reaches Fibonacci of Wave-B in Consolidation Zone

https://admiralmarkets.com/analytics...olidation-zone - Your capital is at risk

EUR/USD
4 hour
https://fxmedia.s3.amazonaws.com/art...03-2017eu4.png
The EUR/USD indeed bounced at the resistance trend line (red) but the reaction has been mild and choppy, which makes an expanded correction within waves Y (green/blue) likely. A break above resistance (red) could see price move higher to test the Fibonacci levels of wave 2 (purple) but a push above the 100% level invalidates the wave structure. A break below support (green) could see the downtrend continue.
1 hour
https://fxmedia.s3.amazonaws.com/art...03-2017eu1.png
The EUR/USD tested the resistance trend line (red) one more time, which could be a wave 5 (orange) within wave A (blue). Price has bounced at the 50% Fib and could continue towards the wave C (blue) targets at the Fibonacci levels. A break below the support line (green) invalidates the ABC (blue) whereas the other Fibonacci levels of wave B vs A could act as support.

USD/JPY is Keeping Bullish Continuation Patterns

USD/JPY Completes ABC Zigzag at 50% Fibonacci

https://admiralmarkets.com/analytics...t-50-fibonacci - Your capital is at risk

USD/JPY
4 hour
https://fxmedia.s3.amazonaws.com/art...03-2017uj4.png
The USD/JPY seems to be retracing within a wave 2 (brown) back to the Fibonacci levels which could act as support. The wave 1-2 (brown) structure is invalidated once price breaks below the bottom (blue).
1 hour
https://fxmedia.s3.amazonaws.com/art...03-2017uj1.png
The USD/JPY is building an ABC (orange) within wave 2 (brown) and could retrace back to the Fibonacci levels of wave 2 vs 1 (brown).

GBP/USD Bearish Channel Aims for 1.20

https://admiralmarkets.com/analytics...-aims-for-1-20 - Your capital is at risk

GBP/USD
4 hour
https://fxmedia.s3.amazonaws.com/art...03-2017gu4.png
The GBP/USD remains in a downtrend as long as price stays in the bearish channel (red lines). Price is moving towards the Fibonacci targets of wave 5 and wave 3. A bearish continuation could see price move towards 1.20 which is a psychological round level, previous bottom (green) and 161.8% Fibonacci target.
1 hour
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The GBP/USD break below the support trend line (blue) could see price continue with wave 5 (pink) of wave 3 (green). A break above the resistance line (red) would most likely not change the downtrend as long as price stays below horizontal resistance levels (orange).

NZD/USD Equidistant Channel in a Strong Downtrend

EUR/USD 78.6% Bounce and USD/JPY Break Above 115

https://admiralmarkets.com/analytics...reak-above-115 - Your capital is at risk

USD/JPY
4 hour
https://fxmedia.s3.amazonaws.com/art...03-2017uj4.png
The USD/JPY broke above the resistance top (dotted red) of the wave 1 (blue), which could start the wave 3 (brown) of wave 3 (blue). Price needs to reach at least the 161.8% Fibonacci target before the wave 3 can be confirmed.
1 hour
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The USD/JPY keeps pushing with higher highs and price seems to be extending the wave 5 (orange) with 5 internal waves (magenta/pink). Once the wave 3 (magenta) is completed, then a corrective chart pattern such as a bull flag or contracting triangle must emerge to confirm wave 4 (magenta). A break of that pattern could lead to a wave 5 (magenta) of wave 5 (orange).

NFP Preview: EUR/USD Trapped Within the Rectangle Consolidation

The Secret to Applying Elliott Wave Analysis

Dear Traders,

All traders struggle to understand why the market moves the way it does. A sudden turn, a failed reversal, or a long lasting correction occur regularly but could torpedo your trade setup.

The benefit of the Elliott Wave Theory is simple it allows you to understand the psychology of the Forex, CFD and other financial markets.

The problem is that traders often complain to me about the difficulty of implementing the Elliott Waves correctly. To solve their problem, I decided to write this article which explains exactly how to apply waves in a simple and practical way.

https://fxmedia.s3.amazonaws.com/art...s-Banner-3.jpg

Emotional markets are an opportunity

The single biggest benefit of analysing the Forex, CFD, and financial markets with the Elliott Wave Theory (waves) is comprehending the psychology of the market. Simply said, it allows traders to understand the psychology behind the price movement.

I often remind traders in live webinars that the financial markets are not rational but emotional. The markets exaggerate in their movements and reactions.

The emotional reaction is actually a place of opportunity for the trader if they manage to recognise the wave patterns and manage their own emotions (trading psychology) sufficiently.

The main question is, how can traders recognise and benefit from wave patterns?

Please see the video below for me info about the theory behind Elliott Wave patterns:

Real secret behind wave trading

The best solution might surprise you. For beginning traders, I do not recommend to to start with labelling waves, nor to rely on waves for trading decisions. There is nothing wrong with waves' labels but it does require a lot experience.

Recently I already explained the best process for learning the waves and how waves are more valuable than traders realise. The best answer is what I call a practical application of the Wave Theory when the Forex, CFD or financial markets show a clear and concise pattern.

Rather than continuously update the charts with a new estimate of the wave structure (good for experienced wave traders), you can leave that daily wave analysis up to me (for EUR/USD, GBP/USD and USD/JPY) and focus on the most important, clear, and visible patterns.

Waiting for the best wave patterns

In my view, there are a couple of wave patterns that are easiest to recognise. Let's walk through two of them. In a future article, I promise to reveal all of my favourite wave patterns.

Scenario 1 Wave 3 Momentum

Third waves are exciting because price action is showing lots of momentum or impulse. Why is that interesting for traders?

Impulsive price action is a swing where most of the candles are pushing strongly in one direction (either bullish or bearish). The exact opposite is called a correction, which is slow and sideways price movement.

During momentum, I am able to get the best reward-to-risk (r:r) ratio because price can push far. In fact, third waves are known for their quick moves.

Here is a list of 3 patterns I look for at the start of third waves. For all 3 patterns, I use the recent top or bottom for stop loss placement. The main targets are always aimed at Fibonacci levels, Pivot Points, and major tops and bottoms.

Key pattern number 1: three strong and sizeable candles is one of the clues that confirms a potential momentum start. The candle close should be near the high (uptrend) or low (downtrend) plus the candles need to be rather large (not too small).

https://lh3.googleusercontent.com/Vy...rM1q1_7DKq_9GU

Key pattern number 2: another opportunity I often look for is............

Read full article here: https://admiralmarkets.com/analytics...-wave-analysis - Your capital is at risk