If the price stays below this resistance, three corrections can occur as shown in the chart. The first is when the uptrend is continued by daily support. The second is a leading diagonal pattern, rising by weekly support after wave2 ends. The third is when the W-X-Y weekly correction ends with a large rise by the new monthly support for several months, perhaps next year. If the 10-year US interest rate does not rise above 1.5 again, the second and third chances are high. However, USDJPY has strong upward momentum, so if the US employment index is good in early July, interest rates will also turn sharply upward, and USDJPY will rise above 112 highs with new daily support.



more…

READ  USDJPY buy example for FX:USDJPY by zexellew96