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Powerful Elliott Wave Diagonal Pattern for USDJPY

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One of the benefits of Elliott wave is that it provides context for describing market behavior. A correct interpretation of the Elliott wave pattern can help you forecast important turning points.

With these turning points identified, solid risk to reward ratio opportunities can be bubbled up as well.

We have such a case within USDJPY.

The choppy and overlapping uptrend has the look and feel of a diagonal pattern. If this is the case, USDJPY is on the verge of turning lower and could possibly reach 107.47.

Watch the yellow highlight...a breakdown below it will be the initial warning signal that a top may have formed.

A breakdown below the green highlight will confirm the top.

If this is the correct Elliott Wave pattern carving right now, then USDJPY will have to remain below 112.00 or some other pattern is at play.

Feragatname

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