Elliott waves analysis – USD/JPY: Awaiting Completion of the Ending Diagonal Triangle.

The current situation for the USD/JPY pair remains within the framework of the updated wave scenario. It is worth noting that, at the moment, the development of an ending diagonal triangle in the final wave of the impulse is presumed.

To complete this model, a final push to the upper boundary is required. The chart indicates that upon reaching this target, the current maximum will not be exceeded. This suggests a truncation in the final wave of the impulse, implying that the sellers‘ strength is potentially very strong. The subsequent downward wave could lead to a significant and prolonged bearish movement.

Therefore, it is advisable to wait for the completion of the ending diagonal triangle. Until then, no trading actions are recommended.