During the previous trading day, the impulsive wave (5) extended lower but is yet to hit our target take profit level 108.59. Today, we expect a possible extension of this impulsive wave count towards our previous target where we expect a possible rebound to buy this pair. If by the time price reaches 108.59, then intraday stochastic is below its oversold level of 20, then this will be an ideal place to long this pair. If this level is clearly broken to the lower side, then we expect further decline to the lower side. Expect a similar price action in CHFJPY, NZDJPY and CADJPY. These pairs will have a similar price action during this intraday, only buy or sell usdjpy if the other pairs are giving the same signal.
Remain short with an ideal target at 108.59