USD/JPY Inside Day at Trendline; Wait for Clarification

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eliottWaves_usd-jpy_body_usdjpy.png, USD/JPY Inside Day at Trendline; Wait for Clarification

Chart Prepared by Jamie Saettele, CMT using Marketscope 2.0

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-The USDJPY has recovered off of last week’s lows and is nearing the October high (99).

-Price formed an inside day on Thursday at the line that extends off of the September and October highs.

-An impulsive rally from the 10/8 low, corrective decline from the 10/17 high and impulsive advance from the 10/25 low suggests that 99 will be exceeded but perhaps not until a deeper pullback from 99.67. Levels of interest as support are 97.80 and the uncovered close at 97.39.

Trading Strategy: This market is coiled for a big move to end the year. Triangles are usually continuation patterns but it’s possible that the eventual break ‘surprises’ to the downside. We’ll trade it either way when it’s ready.

LEVELS: 97.39 97.80 98.04 | 98.50 98.77 98.99

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