Elliott wave Analysis: USDJPY is Targeting 109.70 Level In Sharp Fashion

On USDJPY we are tracking a bigger triangle correction which can be fully visible on the weekly chart but maybe still incomplete. If that’s the case then current leg up on the daily time frame is wave D in three legs which can be headed much higher after current blue sub-wave B is completed, which is in progress as a flat correction with potential support around the 109.71 level.

USDJPY, Daily

On the 4h chart of USJDPY, we see a sharp drop which happened overnight and can be part of a big flat correction rather that a triangle, currently with wave C) in play. The reason is no overlapping decline, so this can be an impulse in progress, meaning more weakness towards 109.50 will be expected after a sub-wave four bounce. Once we will be able to count five legs from 112.40 level, that is when bears will be expected to slow down as big flat correction in B will come to an end.

USDJPY, 4h

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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