FX:USDJPY   U.S. Dollar / Japanese Yen
The pair may fall.

On the 4-hour chart, the first wave i of 1 of (C) developed, and a downward correction started forming as the wave ii of 1. Now, the wave (a) of ii is developing, within which the fifth wave of the lower level v of (a) is forming. If the assumption is correct, the pair will fall to the levels of 106.95–106.35. In this scenario, critical stop loss level is 109.51.

Main scenario

Short positions will become relevant during the correction, below the level of 109.51 with the targets at 106.95–106.35. Implementation period: 7 days and more.

Alternative scenario

The breakout and the consolidation of the price above the level of 109.51 will let the pair grow to the levels of 110.50–111.00.

Scenario

Timeframe Weekly
Recommendation SELL
Entry Point 108.52
Take Profit 106.95, 106.35
Stop Loss 109.51
Key Levels 106.35, 106.95, 109.51, 110.50, 111.00

Alternative scenario

Recommendation BUY STOP
Entry Point 109.55
Take Profit 110.50, 111.00
Stop Loss 109.00
Key Levels 106.35, 106.95, 109.51, 110.50, 111.00

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