A decline is possible.

Assumingly, an upward correction as wave B within the fourth wave has finished forming. At present, the last wave (c) of y of B seems to have finished forming and taken the shape of an impetus with the truncated fifth wave. Is the assumption is correct, a decline to the level of 120.24 is to be expected. A critical for this scenario is the level of 123.44.

Trading tips

Sell the pair from corrections, below the level of 123.44 with the target at 120.24.

Alternative scenario

The breakout and consolidation above the level of 123.44 would allow the pair to grow to 124.40 within wave (c) of y of B.

USD/JPY: wave analysis

USD/JPY: wave analysis

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