Elliott Wave Analysis: USD Index and USDJPY

USD is not moving much now, but we still think that USD strength is behind the corner and that wave 4) is near completion on USD index chart. However, we still need some strong bounce back to 103.00 to make sure that we are going straight to the upside. If another leg down is coming, then watch out for 100.70 support.

USD Index, 1H

If USD index is going to climb higher from here then we can expect more upside on USDJPY also, especially if we consider that stocks are still in bullish phase. In fact, USDJPY has a nice and clear Elliott Wave structure, a complex correction down from December highs that can be near completion with the current ending diagonal in wave C. We, however, are still waiting on a strong bounce in impulsive manner, back above 115.45 before we can call for Resumption of an uptrend.

USDJPY, 1H

Gregor Horvat

Grega Horvat Grega is based in Slovenia and has been involved in markets since 2003. He is the owner of Ew-Forecast, but before that he was working for Capital Forex Group and TheLFB.com. His feature articles have been published on FXstreet.com, Thestreet.com, Action forex, Forex TV, Istockanalyst, ForexFactory, Fxtraders.eu, Insidefutures.com, etc. He recently won the award on FXStreet.com for Best Forex Analysis in 2016. At Ew-forecast he helps clients and educates them about the Elliott wave principle and how to label and track unfolding patterns in real time. His approach to the markets is mainly technical. He uses a lot of different methods when analyzing the markets such as candlestick patterns, MA, technical indicators etc. His specialty, however, is Elliott Wave Theory which could be very helpful especially if you know how to use it in combination with other tools/indicators. EW-Forecast To be involved in the market effectively, you need the right guidance and resources, and our team can help you to achieve that. Our team is providing advanced informations about Elliott Wave theory in real time. The Elliott Wave Principle gives you a method for identifying the behavior of the markets and at what points the market is most likely to turn. We help new traders who are interested in Elliott Wave theory to understand it correctly. We are doing our best to explain our views as simple as possible with educational goal, because knowledge itself is power!

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