USD/JPY Wave Analysis for December 7, 2012
During yesterday’s trading session the USD/JPY pair continued its move in the range of horizontal wave structure of wave B. Probably it is in a more extended correction, which is developing from the high of November 22. Meanwhile, a closely situated high at the level of 82.83 and the uptrend do not allow the pair to break below the level of 81.75. Moreover, it is possible the quotes resume its growth towards the level of figure 83 or even figure 84.
Targets for New Up Wave:
82.40 and higher – 11.4% of Fibonacci
Targets for Down Wave:
81.94 – 23.6% of Fibonacci
81.39 – 38.2% of Fibonacci
Summary and Trading Recommendations:
At the moment we can conclude that downward correctional wave structure continues its formation. It may transform into a complex side one. Drop of the quotes may continue; the targets are 81.94 and 81.39 which is corresponding to 23.6% and 38.2% of Fibonacci. Ascending move of the quotes may start to the level of 82.40 and higher which is corresponding to 11.4% of Fibonacci. No channels or Divergence/Convergence of MACD were observed. Wave C of the correctional trend may be rather extended and the whole side structure may be complex.
The material has been provided by Instaforex Company – instaforex.com