Elliott Wave update: USD/JPY moving into 138.00-140.00 zone

Gregor Horvat Wavetraders

USD/JPY is finally topping out this year at our 162-164 resistance area, where we called the end of a big ending diagonal on the daily chart. Notice that the price is now falling sharply and impulsively through the lower trendline support and straight, all the way down to the starting point of the wedge pattern, which we see it as ongoing first leg (A) of a minimum larger three-wave A-B-C reversal down.

What's even more important is that we can see an impulsive decline in progress, with pair now trading at new lows,so it s sfifht wave, ideally an ending diagonal that can be slowly coming to an end; ideally, this moth we will see a bottom in 138-140 area.

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Author

Gregor Horvat

Wavetraders

Experience Grega is based in Slovenia and has been in the Forex market since 2003.

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