Today we will talk about 10Y US Notes and USD/JPY, their price action from a technical point of view, and wave structure from Elliott Wave perspective.
As you may already know, 10Y US Notes(treasury bonds) and USDJPY are in negative correlation. So, after a recent big sideways price action and corrective consolidation, the pattern is becoming clearer and clearer.
Well, what we see is that USDJPY can be forming a bigger bearish running triangle formation, which can sooner or later push the price below 104 level, ideally towards 103 - 102 area, mainly because of the current bounce on 10Y US Notes, which seems to have a completed flag pattern, from EW perspective, an a-b-c corrective decline, where wave "c" completed an ending diagonal.
Be humble and trade smart!
USDJPY vs. 10Y US NOTES, 4H
Comments
Log in or sign up to join the conversation.