03.01.201807:05 Forex Analysis & Reviews: Wave analysis of the USD / JPY currency pair for January 2, 2018

Analysis of wave counting:

In the wake of the overall weakening of the dollar, during the trades of the last session of the past year, the pair USD / JPY started with a downward movement, having lost more than 40 pp in price and broke through the level of 112.50 in the afternoon. It can be assumed that, despite this decline, the currency pair remained in the stage of formation of the first generating waves in the composition of the future wave c, c, b, (C), whose calculated targets extend up to 111.00 level. At the same time, as it was mentioned before, the probability of renewed growth of quotations and even more complication of the internal wave structure of the entire wave b, b, (C) still has not lost its relevance.

Targets for the downward wave option:

111.89 - 38.2% of Fibonacci

111.02 - 50.0% of Fibonacci

Targets for the upward wave option:

113.59 - 161.8% of Fibonacci

113.88 - 11.4% of Fibonacci

General conclusions and trading recommendations:

The tool continues to build an uptrend section of the trend. The increase in quotations may resume with targets near the marks of 113.59 and 113.88, which corresponds to 161.8% and 11.4% of Fibonacci, within the complex wave c, b, b, (C). This wave can take a very long form. If this wave completes its construction, then the decline in quotations will continue within the limits of the wave c, b, (C).