Guest Commentary: MarketVisionTV - $JPY Approaching the End of a Correction?
*USDJPY has maintained the decline from 84.20 high to remove an overbought condition.
* If it is in a correction then it is close to a low...
* Short term symmetry suggests looking to buy in the next 24 hours.
* The ratios project one more sharp sell off first.
The Dollar duly reversed within the down channel breaking below the 82.60 level to confirm the second leg of the corrective decline towards the 81.05 38.2 % retracement target of the whole 76 to 84.20 move. From an Elliott Wave perspective we look at the drop to 81.95 as the A wave the rally back to 83.35 as a three wave B and we are currently in what should prove to be a 5 wave C leg. The drop to 82.60 is likely one of C and we suspect the third wave has subdivided and only ended at 81.80. Given the tight short term down channel the 4th wave may well be over and thus look for a final decline to the C=A 81.25 to 81.05 target zone. The A wave was 52 hours the B wave 50 and so the low is set to occur later today. Look to buy there or on a rally back through the wider down channel and pivotal resistance at 82.60.
Further videos or commentaries are available form www.MarketVisionTV.com
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.