USDJPY- One Final Push Left & Then a fall below 103.85 with NFP

6. Okt. 2016

Its very important to understand where you are wrong so that you can minimise your risk. As per previous update- we took short assuming that 5th circled wave is done from 102.72 when UJ made high@103.74 & as soon as it started moving above the swing high 103.69 after a fall@103.45's - I knew this 5th wave is extending so I was out of short call & we have just seen (2) wave in 5th circled wave & suggested that going above high 103.74 -it will make a new high which one can see how it shaped up.

It made a new high@104.15 -which again is just (3) rd wave in 5th bracket wave -travelled 161.8% of respective (1)st wave.

The fall from 104.15 to 103.86 was so sharp that it cannot be (4)th wave itself - so I am assuming it as A-B-C Move where A-of (4)th is done from 104.15 to 103.86 -likely B & C-wave in (4) th wave might consume whole 20-24 hrs timeframe till NFP data is out tomorrow.

Once NFP Data is out we might see a push higher above 104.15 or equal distance to complete final push (5)th in 5th circled wave.

Divergence is already visible on MACD.

Trading Strategy
Let us wait for sideways action to unfold -going into NFP data tomorrow -look for a higher push & then a fall immediately but surely after making a new high or similar high@104.15- when it falls below 103.85 -that will confirm the completion of wave starting from 102.72

Targets- shall be 102.70-102.75 with stops as a new high which will be created before or after NFP data immediately.

Previous update
How stop at 103.69 -gave me clue that UJ is extending up for a new high