Since July 2014 to June 2015 USDJPY had an impulsive rally from 100 mark to 125-126 zone. Once the impulsive rally ended, the pair has started retracement in the form of ABC Structure which is irregular flat structure from Elliott Wave Point of View (A is 3 Waves down) ...Bounced in B-Wave (B-wave is also 3 Waves but complex W-X-Y structure-which retraced almost 80% of A-Wave ---which is minimum requirement for a flat structure). Currently we are having C-wave which is running & we could start trending move down & 80% chances that JPY can become more strong or U.S.Dollar could weaken as compared to JPY. I am looking the zone of 107-108 where C-wave could finish 161.8% of A-wave. To confirm or have confluence, we also running Bullish Bat Pattern whose D-Point could finish even lower than 107-108 zone. Guys be ready, Asian Markets could have action starting tomorrow where India Nifty will lead the asian markets in falling if goes below 7580 & later on 7400. Intraday 7700 will be strong support for India Nifty.
Regards,
Abhishek H.Singh,CMT