USD/JPY. Expecting the Development of Corrective Wave 4. | 06 August 2024
06 August 2024, USD/JPY
The dollar is attempting to halt the aggressive sell-off. Currently, there is an observed increase in price, which is seen as part of a corrective wave. It is likely that wave 4 of the bearish impulse has begun forming. If this is indeed the case, buyers will soon exhaust their efforts, and the price will start to decline again, but not as aggressively. The situation will stabilize between the minimum established by wave 3 and the maximum of the current corrective rise.
It is expected that wave 4 will take the form of a simple zigzag, as schematically indicated in the provided chart. Following this, another downward movement is anticipated to form wave 5 and complete the presumed bearish impulse.
Thus, since a correction is expected, it is not recommended to open any trading positions at this time.
Investment idea: flat.
The author's opinion reflects their personal view and is not an investment recommendation. The company is not responsible for any trading results based on the provided analytical data.
