USDJPY: long-term picture

FX:USDJPY   U.S. Dollar / Japanese Yen
I would like to long "USDJPY" because the price is likely to make new high after correction.
After second half of the year, I will change my strategy from long to short.
1) Price is moving in wave {B}-(C)-3.
2) Price shows alternation between subwaves 2 and 4.
- subwave 2: sharp correction (more than 78.6% retracement of subwave 1)
- subwave 4: sideways correction (at least 23.6% retracement of subwave 3)
3) 14-day slow stochastic oscillator shows positive correlation with the price action.
- Crossing back above the oversold 20 line can be used as a buy signal.
4) Price is above the cloud. The picture is still bullish . Thicker cloud should provide great support.
5) 23.6%-38.2% retracement level looks like a good buy zone.
6) 2.618 extension level: (C)=2.618(A) looks like a reasonable upside target.
- It also lines up with 2016 high when BOJ decided negative interest rate policy.

Let's see how it goes!
Comment: Weekly chart:
Comment: Today's and yesterday's simple moving average of previous n bars:
MA(0) = {P(0) + P(1) + ... + P(n-2) + P(n-1)}/n
MA(1) = {P(1) + P(2) + ... + P(n-1) + P(n)}/n
MA(0) - MA(1) = {P(0) - P(n)}/n
From MA(0) - MA(1) = {MA(0) - MA(1)}/1,
MA(0) - MA(1) can be regarded as the slope of tangent line.
Definition of Momentum:
Mom(0) = P(0) - P(n)
Momentum is proportionate to the gradient of simple moving average.


@Mizuki32, Hello Mizuki! As always a very well tailored and explained chart!!! Appreciate the things you do and generous to share with community! Best wishes, Aibek
aibek aibek
@Mizuki32, by the way it's Ultra-Japanese ))) - Yen + Ichimoku clouds + Heiken Ashi candles + Japanese lady as a tailor ;-)))
@aibek, Haha:) Thank you for your compliment, Aibek. I wish you will have a great year 2017!
aibek Mizuki32
@Mizuki32, )))) No this is crystal pure truth like a water from Fujiyama mountain! Keep posting please! Thank you for wishes! Best of luck to you and every success!
Home Stock Screener Forex Screener Crypto Screener Economic Calendar How It Works Chart Features Pricing Refer a friend House Rules Help Center Website & Broker Solutions Widgets Charting Solutions Lightweight Charting Library Blog & News Twitter
Profile Profile Settings Account and Billing Referred friends Coins My Support Tickets Help Center Ideas Published Followers Following Private Messages Chat Sign Out