Analysis of wave counting:
During the trading yesterday, the USD / JPY pair, however, began to slowly develop an upward movement and increased about 40 bp in price. And, during the second half of the day, the pair worked out the 112.85 mark. Thus, the emerging wave situation allows us to assume that the currency pair remained in the formation stage of the first generating waves, as part of the future 3rd wave, a, c, a, c (C). At the same time, the currency pair can resume the decline of quotations at 114.15 under the current conditions. It can also further complicate the internal wave structure of wave b, c in a, in (C).
Targets for the downward wave option:
111.01 - 50.0% of Fibonacci
110.15 - 61.8% of Fibonacci
Targets for the upward wave option:
115.00 - 117.00
General conclusions and trading recommendations:
The instrument continues to build the uptrend section of the trend. The assumed wave b, in a, in (C) has completed its construction near the mark of 111.01, which corresponds to 50.0% Fibonacci. If this assumption is correct, then the increase in quotations will continue with the targets above 115 figures, around the boundaries of wave c, in a, in (C).* The presented market analysis is informative and does not constitute a guide to the transaction.
