USDJPY Fibonacci Confluence at 7960 Looms

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eliottWaves_usd-jpy_1_body_usdjpy.png, USDJPY Fibonacci Confluence at 7960 Looms

Prepared by Jamie Saettele, CMT

Earlier this week, “the USDJPY 5 day range of .81% was the lowest 5 day range since January. Similar levels were registered in December 2011 and October 2011. In all instances, the initial move was wrong. Viewed in the context of 3 wave rallies at multiple degrees of trend, a sensible strategy is to short sharp rallies.” I remain inclined to treat this move higher as a trap and 7960 may be a decent area to do so. The level is defined by the 61.8% retracement of the decline from 8061 and the 161.8% extension of the 7790-7879 advance.

LEVELS: 7859 7885 7908 7960 8010 8061

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