My Bias: LONG
Wave Structure: rally in wave [C]
Long term wave count: wave [C] is underway, upside to above 136.00
Important risk events: JPY: N/A. USD: Philly Fed Manufacturing Index, Unemployment Claims, Treasury Sec Mnuchin Speaks.
USDJPY rallied today as suggested by the short term wave count.
It is too early to tell if this confirms the bottom of wave '4' orange just yet.
The price structure must break out of the parallel trend channel to the upside and clear resistance at 109.40 as the first hurdle.
A break of 110.10 will cement the larger bullish view point an setup a rally in wave '5' orange.
The minimum target for wave '5' orange lies at or above 1.2578,
the previous wave [A] red on the daily chart.
This correction has gone on for long enough now and the market is primed for a huge rally, one worth the wait!
The upper target for the coming rally lies ion the region of 140.00,
where wave [C] red will reach equality with wave [A] red.
That shows you the scale of the move I am expecting for the Dollar over the next year or so.
For the next few days, I will be watching the action around 109.40 to see if we get a break higher.
A break below 108.13 will postpone the larger rally for another week or so as this correction winds down.