Let look at the dollar-yen currency, in March this year the dollar-yen started the bullish trend from bearish. We started at 104.619, we had 5 waves up which ended in May at 111.401. Then we started the correction waves ABC which is where we are now. I didn’t show at the start in March in the chart above but you can check on your chart, it should be simple to spot. After 5 bullish waves we than started the first wave in a correction wave which is wave A, which went bearish from 111.401 to 108.101. As an aspiring Elliot waver, you know about the Elliot wave guidelines above where the wave A will end, that happened beautifully here. If you didn’t read the yesterday post you must check it out here.
Wave B began at 108.101, I have to be honest wave B fooled everyone, we didn’t expect it to become complex like that, it had a leading diagonal wave A than followed by zig-zag wave B and wave C. If you use Fibonacci tool to predict wave B, it got rejected just around 88.6 retracements of wave A. Currently we are in wave C or believe it has started and we expecting wave C to consist of 5 clear waves. To estimate where wave c might end you can use the distance of wave A, it should be more or less equal to wave C. But it always better to estimate using the current wave count.