The USD in our view continues to be in an accumulation phase, hence the choppy price action near its lows. Recent price action in the USD is typical of a bottom building process.
Casting our eyes on the USDJPY, a nice bullish setup has been formed. Impulsive wave structure from the lows and what we believe a completed A-B-C correction. The risk/reward profile is clearly defined and long positions initiated from a move above 105.
1. USDJPY – 4hr Chart: Bullish flag completed, looking for higher prices IF 103.32 holds!
