USDJPY Market Analysis and Trading Strategies.
*Personal Opinion
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Waveforms of each time leg
Weekly
Downtrend.
The fifth wave of the Elliott Wave downtrend may have ended, signaling a possible reversal, or the fourth wave correction may still be ongoing, with the fifth wave yet to begin.
The weekly chart makes it difficult to grasp the overall direction.
Daily
From a bullish perspective, a range has formed between ¥142.3 and ¥148.5.
Although the price once climbed near the top of the range, it was sharply pushed back by a candlestick wick.
Selling pressure appears to be stronger at the moment.
Buying pressure seems to have emerged as the price approached the lower end of the range.
The impact of the employment statistics announcement also appears to be significant.
4-Hour
The market had been in a downtrend, but it surged sharply following the employment statistics announcement, shifting the outlook to the upside.
It’s unclear whether technical analysis will function cleanly from here, but the market has now become one where we want to shift from selling on rallies to buying on dips.
1-Hour
Uptrend.
There was a sharp rise following the employment statistics announcement yesterday, and the price is currently undergoing a correction.
Trade Strategies
Today is Independence Day, and with the U.S. market closed, price movement is likely to slow down, making trading more difficult.
If entering a trade, it would be on a buy-the-dip basis, judging by the price action around potential support levels.
Buying has a higher expected value up to the starting point of the sharp rise on the 4-hour chart.
If the recent high is broken, it will be possible to aim for buy-the-dip entries on the lower timeframes up to the next potential resistance zone.
