Elliott Wave Analysis On USDJPY And SP500
USDJPY is falling close to the 103.00 mark, making leg down from 105.20 even more extended so price structure fits now even better into a bearish impulse. As such, we see this leg down as wave three that is now in final stages so be aware of a short-term recovery up into wave four that can look for a resistance at 103.80-104.00 area.
A sharp breakdown yesterday on E-mini S&P500 and daily close outside of a trading range suggests that US stocks can see more weakness in the next few sessions. In fact, we are tracking wave C down from 2135 that should be made by five waves, so it appears that another leg is missing. As such, new leg down can follow, ideally to 2080 area where we would be looking for a bounce later this week.