07.05.201813:00 Forex Analysis & Reviews: Weekly review of USD / JPY of May 7 on simplified wave analysis

As a starting point for the last unfinished wave for today, the chart of the Japanese yen major is a bearish wave, which has been taking off since December 2016. By now, the wave has reached a minimum level of elongation. At the same time, no generated reversal signals are observed.

The last ascending segment has a sufficiently high potential to give rise to a potential reversal zigzag. The structure of the rising wave has an incorrect form, in which the probability of price return at a corrective drop is high for the beginning of the entire bull construction.

Quotations of the pair ply near the lower limit of the potential turn area. In the coming days, you can wait for the second attempt at the pressure on the zone, after which the probability of a change in prices and the course of prices will increase dramatically. The most likely level of decline is within the limits of settlement support.

The boundaries of resistance zones:

- 110.10 / 110.60

The boundaries of support zones:

- 107.80 / 107.30

Explanations to the figures: For simplified wave analysis, the simplest type of wave is used in the form of a zigzag, combining 3 parts (A; B; C). Of these waves, all kinds of correction are composed and most of the impulses. At each time frame, the last, incomplete wave is analyzed.

The areas marked on the graphs are indicated by the calculation areas, where the probability of a change in the direction of motion is significantly increased. Arrows indicate the wave counting according to the technique used by the author. The solid background of the arrows indicates the structure formed, the dotted one indicates the expected wave motion.

Attention: The wave algorithm does not take into account the duration of the tool movements in time. The forecast is not a trading signal! To conduct a trade transaction, you need to confirm the signals of your trading systems.