USD/JPY: wave analysis
2019-11-04 15:34:14
The pair may grow.
On the 4-hour chart, the third wave iii within the first wave of the higher level 1 of (C) develops. Now, the first wave of the lower level (i) of iii of 1 has formed, and a local correction has ended as the wave (ii) of iii, shaped as an irregular flat. If the assumption is correct, the pair will grow to the level of 110.50. In this scenario, critical stop loss level is 107.71.
Main scenario
Long positions will become relevant during the correction, above the level of 107.71 with the target at 110.50. Implementation period: 7 days and more.
Alternative scenario
The breakout and the consolidation of the price below the level of 107.71 will let the pair go down to the levels of 106.46–105.66.
Scenario
Timeframe Weekly
Recommendation BUY
Entry Point 108.26
Take Profit 110.50
Stop Loss 107.71
Key Levels 106.46, 105.66, 107.71, 110.50
Alternative scenario
Recommendation SELL STOP
Entry Point 107.65
Take Profit 106.46, 105.66
Stop Loss 108.25
Key Levels 106.46, 105.66, 107.71, 110.50