Wave marking analysis:
In general, in the course of yesterday’s trades the USD/JPY continued the Friday’s ascending movement and tested the level of the figure 83. The price is likely to form the inner wave structure of the supposed wave 2 (or B) within the more complicated and continuous downside correction. If that proves to be so, the pair has good chances to resume the downside movement apparently from 83.25-83.30.
Targets for the variant with the wave B in 4 in 3 or C:
83.26 – 23.6% according to Fibonacci
83.69 – 11.4% according to Fibonacci
Targets for the variant with the wave C in 4 in 3 or C:
82.74 – 38.2% according to Fibonacci
82.33 – 50.0% according to Fibonacci
81.91 – 61.8% according to Fibonacci
General conclusions and trading recommendations:
Presently the upward part of the trend continues its formation with the target seen in the area of the figure 85. Proceeding from the current downside movement we can assume that the wave 3 in 3 or C is completed. Thus, we can see the descending movement within the wave 4 of the global downward trend. The current correction within the wave 4 has downside targets 82.74 and 82.33 which are equal to 38.2% and 50.0% of Fibonacci. The downside impulse is expected to be seen within the wave 4 in C. The upside part of the trend is likely to be resumed when the whole wave 4 is completed.
