Wave Analysis:
During yesterday’s trading session, the USD/JPY met the estimated target in a narrow price range of 77.55 practically without being delayed and broke through the price range of 77.50; it could stop only on the lower line of an uptrend, which started in October last year. Thus, expected wave C is now more complicated. At the same time in the situation of dollar’s descending move in every sphere on the Foreign exchange market it is possible to suggest that the pair may continue its downward move and the price will reach the level of 76.65.

Targets for Down Wave (5 into C):
77.17 and lower – 127.2% of Fibonacci

Targets for the First Wave of New Uptrend:
77.57 – 100.0% of Fibonacci
77.91 – 76.4 of Fibonacci

Summary and Trading Recommendations:
At the moment the descending trend of wave C is forming, it is rather complicated and mixed. The fall towards 77.57 level and lower is also possible which is equal to 127.2% of Fibonacci in terms of wave 5 in C, the inner wave structure of the wave is complicated. After this wave is finished, the quotes may grow towards 77.57 and 77.91 which correspond to 100.0% and 76.4% of Fibonacci in the terms of first waves. MACD convergence is indicative of the beginning of a new uptrend practically starting from the current price, which probably began but it could be forming of wave 4 in C (transformed after complication of wave C).