[B]Commentary[/B]: “It is our working assumption that the USDJPY is working higher in a C wave towards the 128.00 area over the next few weeks/month. The 78.6% of 135.13-101.67, the 100% extension of 108.98-122.17/115.14, and the 100% extension of 101.67-121.39/108.98 are between 127.97 and 128.70.”
Near term, the USDJPY is likely to subdivide in a 5th wave before a correction. In other words, now is not the time to get bullish. Overbought and divergent RSI along with channel resistance indicate the potential for a pullback. [B]Strategy[/B]: Move to flat, we?ll look to return to the bull side on a correction of the 5 wave rally from 120.75.