Wave Analysis:
Earlier today, we saw an extension of the impulsive wave (E) to the lower side but is still several pips above our target. For the better parts of the day, we expect a possible bearish price rally towards 110.20 and the next target along the lower supportive trend line. The anticipated bearish price rally is the continuation of the impulsive wave (E) to the lower but should not go beyond 106.65. This pair should be traded alongside CADJPY, AUDJPY, NZDJPY and CHFJPY. These pairs have a strong positive correlation of up to +89% and will move in the same direction during this trading day. Only buy or sell usdjpy if the other pairs are giving the same signal.
Trade Recommendations:
Remain short with an ultimate target along the lower trendline.
Origin: FreshForex
