03.05.201809:33 Forex Analysis & Reviews: Wave analysis of the USD / JPY currency pair for May 3, 2018

Analysis of wave counting:

Testing the level of the 110th figure and the upper forming line of the rising channel led, at the end of the last day, to the expected rebound of the pair USD / JPY price by more than 40 percentage points from the already achieved maximum. At the same time, it can be assumed that the currency pair continued to remain in the formation stage, which took a highly extended form of the wave 5, c, 4, C, C, (B). If this is so, the currency pair retains the potential, allowing it to at least work out a settlement target located in the area of 110.25-110.30.

The objectives for the option with a downward wave:

108.10 - 38.2% of Fibonacci

106.77 - 23.6% of Fibonacci

The objectives for the option with an upward wave:

110.26 - 61.8% of Fibonacci

General conclusions and trading recommendations:

The tool continues to complicate the downward portion of the trend and wave counting has suffered some changes. The decline in quotations may begin with the first targets near the marks of 108.10 and 106.77, which corresponds to 38.2% and 23.6% of Fibonacci, within the framework of the construction of wave 5, C, C, (B). Wave c, 4 continues to become more complicated with targets located near the calculated mark of 110.26, which corresponds to 61.8% of Fibonacci. An unsuccessful attempt to break through the level of 110.26 may lead to the completion of an upward wave.