Wave Analysis:
During the previous trading day, the US Dollar went below the supportive trend line and is still holding below it. As long as the price remains below this trend line, we expect a drop in price towards 111.590 or even lower. However, if the price gets back above this trend line, then we’re likely to continue long with the impulsive wave (E) towards the upper trend line and could extend higher but should not go beyond 114.00. This pair will have a similar price action to CHFJPY, AUDJPY and NZDJPY. These pairs have a strong positive correlation and will move in the same direction during this intraday.
Trade Recommendation:
Unless there’s a clear move back within the immediate trend line, expect a drop in price towards 111.590
Origin: FreshForex
