Analysis of wave counting:
During almost the entirety of last week, the USD/JPY pair held in the range between 114.25-113.25 and only during Friday's selling made an unsuccessful attempt to resume the upward movement, having retreated by more than 80 bp. from the highs reached in the second half of the day (114.45). Thus, the emerging wave situation allows the assumption that the currency pair remained in the stage of formation of the wave c, in (C), in which its internal 2nd wave assumed the form of a rather complex correction structure. At the same time, the emerging divergence of the MACD_aka indicates the possibility of developing an extended downward correction in the direction of the level of the 110th figure.
Objectives for a downward wave option:
112.00 - 110.00
Objectives for an upward wave option:
113.98 - 23.6% by Fibonacci
115.00
General conclusions and trading recommendations:
The USD/JPY pair continues to build the upward wave (C). Thus, the increase in quotations may continue within the wave c, in the future (C) with targets located near the estimated level of 113.98, which corresponds to 23.6% Fibonacci, and above, about 115 figures. The assumed wave b assumed a rather shortened form and was supposedly completed. The divergence of MACD_aka indicates a readiness for a new retreat of quotations downward.
