GBPJPY: Wave Analytics Show the BIG Picture! +570 pips

Current Trade: SHORT UTD Results: +570 pips

It takes more than just identifying trade levels and trading from support and resistance in order to catch the BIG moves! But it also doesn't take 10 different chart studies and multiple indicators either! Simple is always better! Seeing the chart clearly is key to being able to see what the chart is trying to tell you. This is where wave analytics shines. No. It isn't always accurate (what is?) and it isn't the "holy grail" of trading! IT certainly isn't easy to learn and apply! But when you can "surf the waves", it can be extremely rewarding! And it you do it right, it builds upon itself allowing you to be "on the right side" of the market moves more often than not and you are able to follow wave after wave after wave!

Case in point here in GBPJPY. Why it is that I was certain enough to issue a SELL call to my followers on 5/8 to which we are still holding that SHORT trade and are in profit for over +570 pips as of this post. It is because I identified that one of the possible and very likely scenarios was that this pair was in a nice large sideways corrective channel and the wave counts supported the fact that we were going to see another leg down within that sideways channel. Don't see what I'm taking about? Here is a better look at the bigger picture which should give you a good idea of how knowing the possible wave count can lead to some nice trades!
This isn't a post on how to count waves (and that could never be done in one post anyway!) but to give you a brief overview of how I came to this trade....by identifying that the impulsive move up from the lows could be a wave 1 of a MUCH, MUCH larger move higher (which I do see coming by having analyzed the higher timeframes), it only logically follows that the conclusion of the wave 1 means that we need to see a wave 2. Knowing the characteristics of the wave 2, then we can start to build possible wave scenarios for the correction. In this case, it certainly appears for all intents and purposes that wave 2 is a large sideways correction made up of 3 smaller corrective waves. In this case, a wxy with each wxy wave also being 3 waves. Now there several other counts possible but further observing and reading price action analysis, I was able to isolate a "best case/low risk" trade scenario and go with it. And the results speak for themselves!

For now, I still see that there is yet more downside to go for this current wave within the sideways correction to go down. It is only halfway there yet! Of course, markets and conditions can change but I continuously monitor, analyze and update the chart and the trades constantly. For those that follow and trust me, they reap the benefits! PM me with questions and comments.