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

On the 4-hour chart, a local downward correction of the higher level develops as the wave 2 of (C). Now, the wave c of 2 is forming, within which the wave of the lower level (v) of c is developing. If the assumption is correct, the pair will fall to the levels of 111.82–111.35. In this scenario, critical stop loss level is 112.64.

Main scenario

Short positions will become relevant during the correction, below the level of 112.64 with the targets at 111.82–111.35. Implementation period: 3–5 days

Alternative scenario

The breakout and the consolidation of the price above the level of 112.64 will let the pair grow to the level of 113.68.

Scenario

Timeframe Intraday
Recommendation SELL
Entry Point 111.96
Take Profit 111.35
Stop Loss 112.30
Key Levels 111.35, 111.82, 112.64, 113.68

Alternative scenario

Recommendation BUY STOP
Entry Point 112.70
Take Profit 113.68
Stop Loss 112.10
Key Levels 111.35, 111.82, 112.64, 113.68

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