Elliott Wave Technical Analysis: Australian Dollar/Japanese Yen - Monday, May 20

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Australian Dollar / Japanese Yen (AUDJPY) Day Chart    

AUDJPY Elliott Wave Technical Analysis  

FUNCTION: Counter Trend

MODE: impulsive                                              

STRUCTURE: blue wave 5 

POSITION:  black wave C  

DIRECTION NEXT LOWER DEGREES: new impulse 1                                    

DETAILS blue wave 4 looking completed at 99.950. Now blue wave 5 of C is in play.

Wave Cancel invalid level:99.95

The AUD/JPY Elliott Wave analysis on the daily chart provides an in-depth look at the market's current dynamics. This analysis identifies the function of the movement as a counter-trend, indicating that the market is moving against the primary trend.  

The mode is described as impulsive, which implies that the counter-trend movement is strong and directional, typically structured in a five-wave pattern. The specific wave structure under examination is blue wave five, indicating that the market is in the final phase of this particular impulsive counter-trend movement.

Within this structure, the position is identified as black wave C. This suggests that the market is in the third wave of the counter-trend sequence, specifically the last push of the counter-trend correction before a potential return to the primary trend.

The direction for the next lower degrees is set for a new impulsive wave one. This means that following the completion of the current impulsive counter-trend wave, the market is expected to start a new primary trend movement, beginning with wave one.

The detailed observations note that blue wave four appears to be completed at the level of 99.950. Consequently, the market is now in blue wave five of C, suggesting a continuation of the counter-trend movement within this final wave phase.

An essential aspect of the analysis is the wave cancel invalid level set at 99.950. This level acts as a critical threshold; if the market moves beyond this level, the current wave count would be invalidated. This would necessitate a reassessment of the wave structure and could indicate a potential change in the market's direction.

In summary, the AUD/JPY Elliott Wave analysis on the daily chart indicates that the market is in a strong counter-trend movement, specifically in blue wave five. The current position is within black wave C, suggesting an ongoing counter-trend push before a likely return to the primary trend with a new impulsive wave one. The analysis also highlights an invalidation level to watch, which is crucial for monitoring potential shifts in the market's behavior.


AUDJPY Elliott Wave Analysis Trading Lounge 4 Hour Chart,      

Australian Dollar / Japanese Yen (AUDJPY) 4 Hour Chart    

AUDJPY Elliott Wave Technical Analysis  

FUNCTION: Trend                                              

MODE: impulsive                                              

STRUCTURE: red wave 3

POSITION:  blue wave 5

DIRECTION NEXT LOWER DEGREES: red wave 4                                    

DETAILS red wave 2 looking completed . Now red wave 3 of 5 is in play. Wave Cancel invalid level:102.066

The AUD/JPY Elliott Wave analysis on the 4-hour chart presents a detailed view of the market's current trend. The analysis categorizes the function of the market movement as trending, indicating a sustained directional momentum.

The trend mode is described as impulsive, which means the market is in a strong movement phase, typically characterized by a five-wave structure. The current wave structure under examination is identified as red wave three. This suggests that the market is in the third wave of an impulsive sequence, often the most powerful and extended wave in the cycle.

Within this structure, the specific position is pinpointed as blue wave five. This indicates that the market is in the latter stages of the current impulsive phase, with blue wave five representing the final push in this sequence before a potential correction.

The analysis highlights that the direction for the next lower degrees is red wave four. This implies that following the completion of the current impulsive wave, the market is expected to enter a corrective phase, typically retracing some portion of the impulsive movement.

The detailed observations indicate that red wave two appears to be completed. Consequently, the market is now engaged in red wave three of five, suggesting an ongoing strong impulsive move within this wave cycle.

A crucial component of the analysis is the wave cancel invalid level set at 102.066. This level is essential as it acts as a threshold; if the market breaches this level, the current wave count would be invalidated, requiring a reevaluation of the wave structure and potentially signaling a change in the market's behavior.

In summary, the AUD/JPY Elliott Wave analysis on the 4-hour chart reveals that the market is in a strong impulsive trend, specifically in red wave three. The current position is within blue wave five, indicating a continued impulsive movement before a likely corrective phase in red wave four. The analysis also emphasizes an invalidation level to monitor, which guides traders on potential trend shifts and corrections.


Technical Analyst : Malik Awais

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