Wave Analysis:
From the daily chart attached, the US Dollar is still being contained within the falling wadge formation. As long as the upper trend line acting as the top of the wedge protects the upper side, we expect a possible rebound from it to sell the US Dollar with an ultimate target along the lower trend line. The anticipated bearish price rally is merely the continuation of the impulsive wave (E) to the lower side and should break below 107.15. This pair should be traded alongside CADJPY and HKDJPY. These pairs have a strong positive correlation and will move in the same direction.
Trade Recommendations:
Look for a short position with an ultimate target at 108.33
Origin: FreshForex
