A finished impulse, a Fibonacci target, and a reversing Renko brick as one test

A joint test, not a single mark

On a 100-tick (10-pip) modified Renko USDJPY chart, Elliott wave analysis read an upward impulse as complete at wave 5-(5) when three marks arrived together. Price reached a 261.8% Fibonacci target, the Renko chart printed a double downward brick, and a higher price high sat against a lower indicator high.

Editorial interpretation: TradersWeek reads that cluster as one falsifiable reversal test. A finished Elliott impulse, a Fibonacci retracement expansion, and a reversing Renko brick are three pillars of the same setup. If any pillar is missing, the setup is not live.

The USDJPY short checklist

A short was opened only after a multi-condition reversal checklist aligned. The list included an expected first down-leg, price at the volatility-band top, a finished impulse, SRSI rolling off a high with negative divergence, 261.8% Fibonacci resistance, and an upper wick on a double reversing red brick.

Why early green bricks were ignored

Early double green bricks after that short were ignored because the retrace was too small. Price only tagged nearby support, resistance, and the band midline, and the oscillator kept falling.

Covering wave A and skipping the B pullback

The first short was closed when price exceeded a 50% retrace of the full prior impulse, reached 61.8% Fibonacci support at the band floor, and printed hidden positive divergence. That cluster was read as the likely end of wave A.

Countertrend longs through a typical 38.2% to 61.8% wave-B pullback were skipped. A later short waited for a 38.2% to 50% retrace of wave A, a double red brick, nearby resistance, and hidden negative stochastic-RSI divergence.

The wave-C exit

A wave-C short used a 161.8% Fibonacci projection of wave B as an automatic exit. An early double green brick was rejected because price had not reached support and waves A and C were not equal in length.

Two 161.8% projections, one over wave (B) and one over the first wave A, landed at the same 108.43 area. An automatic exit was placed a fraction higher at 108.5.

A Russell 2000 relabel

On a 600-tick modified Renko Russell 2000 chart, a later decline into prior wave-2 territory forced a full relabeling of the impulse. An assumed wave-4 pullback was replaced with a deeper wave-2 zigzag.

A subsequent index long stayed open through nested extensions until a 261.8% Fibonacci target and a double red brick marked wave [5]. The same reversal checklist was then applied for a possible down-leg.