Analysis of wave counting:
Yesterday's USD/JPY trades began with a downward movement and, losing more than 100 basis points in price, still broke through the September low of last year (107.30), reaching 106.70 at the end of the day. At the same time, in connection with a significant decrease in quotations,
the wave counting of the entire wave (B) has undergone significant changes. If this is the case, then at the moment the currency pair continues to form the internal wave structure of the 5th wave, in the 5th, in the 3rd, in C, in B, in (B), probably aiming at testing the level of the 106th figures.
Targets for a downward wave option:
106.07 - 423.6% by Fibonacci
105.35 - 423.6% by Fibonacci
Targets for an upward wave option:
111.01 - 50.0% by Fibonacci
111.89 - 38.2% by Fibonacci
General conclusions and trading recommendations:
The trading instrument continues to build a long-term upward trend. All wave counting has undergone major changes. The decline of quotations may continue with the targets near the levels of 106.07 and 105.35, which corresponds to 423.6% and 423.6% of Fibonacci, within the framework of the construction of the complicated wave 5, at 5, in 3, in C, in B, in (B).
