Analysis of wave counting:
Yesterday's USD/JPY trades began with the continuation of the upward movement and, adding in price more than 60 pp, at the end of the day was able to work out the mark of 109.75. Thus, it can be assumed that the currency pair still remained in the stage of formation of the first generating waves in the composition of the future wave c, in a, in (C). At the same time, as it was already noted earlier, there is still a probability of a currency pair's resumption of a decline in quotations and the transformation of the wave с, in b, in а, in (С), into a full five-wave structure.
Targets for a downward wave option:
108.28 - 100.0% by Fibonacci
107.41 - 127.2% by Fibonacci
Targets for an upward wave option:
113.59 - 161.8% by Fibonacci
113.88 - 11.4% by Fibonacci
General conclusions and trading recommendations:
The trading instrument continues to build the uptrend section of the trend. The increase in prices may continue with the targets near the marks 113.59 and 113.88 (these targets will be further specified), which corresponds to 161.8% and 11.4% Fibonacci, within the wave c, in a, in (C). Wave b, in a, in (C) supposedly completed its construction near the mark of 108.28, which corresponds to 100.0% of Fibonacci.
