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 third wave of the lower level (iii) of c is developing. If the assumption is correct, the pair will fall to the level of 111.35. In this scenario, critical stop loss level is 113.83.

Main scenario

Short positions will become relevant during the correction, below the level of 113.83 with the target at 111.35. Implementation period: 7 days and more.

Alternative scenario

The breakout and the consolidation of the price above the level of 113.83 will let the pair grow to the level of 115.50.

Trade

Scenario

Timeframe Weekly
Recommendation SELL
Entry Point 112.84
Take Profit 111.35
Stop Loss 113.83
Key Levels 111.35, 113.83, 115.50

Alternative scenario

Recommendation BUY STOP
Entry Point 113.90
Take Profit 115.50
Stop Loss 113.30
Key Levels 111.35, 113.83, 115.50

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