The article covers the following subjects:
Highlights and key points
- Main scenario: consider short positions from corrections below the level of 149.34 with a bearish target of 131.25 – 123.97. A sell signal: if the price holds below 149.34. Stop Loss: above 150.50, Take Profit: 131.25 – 123.97.
- Alternative scenario: breakout and consolidation above the level of 149.34 will allow the pair to continue rising to the levels of 155.22 – 161.75. A buy signal: once the level of 149.34 is broken to the upside. Stop Loss: below 148.00, Take Profit: 155.22 – 161.75.
Main scenario
Consider short positions from corrections below the level of 149.34 with a target of 131.25 – 123.97.
Alternative scenario
Breakout and consolidation above the level of 149.34 will allow the pair to continue rising to the levels of 155.22 – 161.75.
Analysis
An ascending wave of larger degree 3 has presumably finished developing on the weekly chart, with wave (5) of 3 formed as its part. A bearish correction has started developing as the fourth wave of larger degree 4 on the daily chart, with wave (А) of 4 forming as its part. Apparently, wave 1 of А and a local corrective wave 2 of А are formed on the H4 time frame, and wave 3 of A is unfolding at the moment. If the presumption is correct, the USDJPY pair will continue declining to the levels of 131.25 – 123.97. The level of 149.34 is critical in this scenario as a breakout will enable the pair to continue rising to the levels of 155.22 – 161.75.
Price chart of USDJPY in real time mode
The content of this article reflects the author’s opinion and does not necessarily reflect the official position of LiteFinance. The material published on this page is provided for informational purposes only and should not be considered as the provision of investment advice for the purposes of Directive 2004/39/EC.
{{value}} ( {{count}} {{title}} )
This post is originally published on LITEFINANCE.
