? USD/JPY Preparing for Bullish Wave 1-2 Pattern? ?

3 min read

Hi traders,

the USD/JPY made a bounce at the support trend line (blue), which could indicate a completed bearish ABC (blue) correction. Price will however need to break above the resistance trend line (red) to confirm a full trend continuation.


4 hour

The USD/JPY bullish breakout could confirm a potential wave 3 (purple) impulse towards the Fibonacci targets of wave 5 vs 1+3. In that case price will continue higher within the uptrend channel. However, a bearish breakout below the support (blue) of the bullish channel could indicate failure of the uptrend and potentially a larger reversal.

1 hour

The USD/JPY seems to have completed a leading diagonal for wave 1 (blue). A pullback could therefore be part of a wave 2 (blue) as long as price stays above the 100% Fibonacci level. A break below the bottom could indicate a deeper wave 2 (purple) if price manages to bounce at the 88.6% Fibonacci level at 110.56.

For more daily wave analysis and updates, sign-up up to our ecs.LIVE channel.

Good trading, Chris Svorcik Elite CurrenSea

Leave a Reply


This site uses Akismet to reduce spam. Learn how your comment data is processed.

Notify of