Wave Analysis:
Earlier the previous trading day, the usd dollar broke below the falling wedge but has currently retraced back into it with an big green candle. We expect a possible break above the wedge and possibly above 118.19 to confirm the continuation of the upward rally towards 121.00 or even higher to 124.00. Otherwise, any clear rebound below 118.03-118.19 will culminate into a possible bearish wave wave count towards 114.95 or even lower. Expect an exact similar wave count in CADJPY, NZDJPY, and USDCHF. These pairs have a strong positive correlation of up to +83% and will have a similar price action during this intraday. Only buy or sell usdjpy if the other pairs are giving the same signal.
Trade Recommendation:
Remain flt for now and wait for a breakout above 118.19 to go long with an ideal target at 121.00. Sell positions are only recommended upon a clear rebound around 118.19-118.03 with an ideal target at 114.95.
Origin: FreshForex
