Analysis of wave counting:
Yesterday's USD/JPY trades started from the upward movement and, adding about 70 basis points in price, surpassed the level of the 112th figure in the afternoon. At the same time, it can be assumed that the currency pair continued to make attempts to transition to the stage of formation of the first generating waves, as part of the future wave c, in a, in (C). At the same time, the current wave pattern allows the probability of resuming the decline in quotations in the direction of 110.00 level and further complicating the internal wave structure of the 5th wave, in c, in b, in a, in (C).
Targets for a downward wave option:
111.01 - 50.0% by Fibonacci
10.15 - 61.8% by Fibonacci
Targets for an upward wave option:
115.00 - 117.00
General conclusions and trading recommendations:
The trading instrument continues to build the uptrend section of the trend. Now the wave (C), its internal wave b, is being continued in a, with targets located near the estimated levels of 111.01 and 110.15, which corresponds to 50.0% and 61.8% of Fibonacci. After the completion of the construction of this wave (which is possibly finished), the resumption of the increase in quotations within the wave c, in a, in (C) with targets above 115 figures is expected. An unsuccessful attempt to break through the mark 111.01 could lead to the completion of the construction of the wave b, in a, in (C).
