USDJPY

Thanks fellas.

I agree about the subjectivity of EWT and that it's best used as a guide for context. I think we'd all agree that you can't trade using EWT alone. I'm not bad on the rules and guidelines but the application is rather different...

I also agree re using a lower timeframe for entries and exits. I tend to use the hourly but do occasionally use 4H. I also have a look at the higher timeframe just to see if there's anything I've missed eg important long term trendlines not apparent on the daily.

Cheers.

Rossy you are right to mention the 4 hour chart, this is the time frame that many folk know of but dont use correctly. The 4 hour chart is your stong entry and exit point, it is very unusual not to get some sort of indication or PA on this time frame.

Once you have your trend (daily), use the 4 hour to enter on your pullbacks. REMEMBER....there is no rush to get in, if you are unsure just ask on here if you need a second opinion. The biggest plus to the 4 hour is your stop levels are normaly quite tight compared to your target price.

If you want to trade trying to use FAKEY`S make sure you get confirmation. KI.

Hi Jackozy

FWIW, my overal view on the EWT is it is very subjective. Your posts and knowledge have provided great guidance but as i have been told before on chartsview 'you should do what suits you'. Due to the subjective nature i use it only as guidance, excellent guidance. Therefore the EWT is not set in stone for me with regards to FX.

When it comes to the 'Wave Theory' I have tended not to look at a 'FAKEY' as a major concern in the grand scheme of the overlap. I have researched and concentrated more on the consolidation of the price around these important areas. The 4hr chart consolidation has taken place above the top of wave 1. BUT..... my research has been nowhere near the depth as yours Jackozy, this is what i am stumbling across though.

Just my twopenneth and would be greatful for any analysis/teachings from you
Regards RMc

Jackozy wrote: Welcome back KI. Hope you had a good holiday.

Thanks for that. It's intersting as it's really not all that dissimilar to my original analysis. Just one question: how do you account for the wave 4 low overlapping the wave 1 high? Are you overlooking this based on a closing prices method?

Very good hol thanks Jackozy.

I would tend to ignore the overlap (especialy on a spike which this was). Also i would trust the fibbo over the wave count. So yes closing price method and price action. There is also 4 weeks of support around this price level (on weekly chart)

I should be up and running posting charts by end of week. KI.

Welcome back KI. Hope you had a good holiday.

Thanks for that. It's intersting as it's really not all that dissimilar to my original analysis. Just one question: how do you account for the wave 4 low overlapping the wave 1 high? Are you overlooking this based on a closing prices method?

Morning Jackozy, looking at how i would have set my fibbo, a higher high was reached on 19/9 (so my 100 would be placed at the top of this candle, the zero would be placed at the low of candle dated 13/9.

You will then see that the pullback went to 23.6 (with some PA) from the 23.6 the price went to the 161.8, at present the price has pulled back and is holding the 100 (as expected)

So my target is now the 261.8 which price wise is 82.60 my stop loss is 79.20.

On a wave count it looks like wave 4 is completing. KI.