CADJPY 4-HR
MAIN VIEW - BLUE
CADJPY appears to be in a triple combination pattern, with the w-wave being an expanded flat and the y-wave being a zigzag. The z-wave is expected to end near the 96.575 level but it is too early to determine what type of corrective pattern will form. The momentum indicators are confirming this move as there is a positive reversal setup on the RSI, the MACD is in positive territory and had a positive crossover and the Fast Stochastic, which is in overbought territory, had a positive crossover. The count will be invalidated if CADJPY trades below 95.12.
Trade idea
Buy CADJPY @ market (95.393), with a stop @ 95.12 (0.29% loss) and targeting 96.575 (1.24% gain). Reward/risk = 4.28.
ALTERNATE VIEW- RED
After completing a (v)-wave impulse which ended @ 95.377 on 14-Oct-13, CADJPY made a 3-wave running flat with the final wave (c) ending @ 94.858 on 18-Oct-13. It is too early to determine the pattern of the next count.