USDJPY POSSIBLE FIBONACCI WAVE PATTERN IMMINENT

 FUNDAMENTAL BEAM

The Japanese yen lost ground last week, as USD/JPY jumped about 130 points. The pair closed the week at 98.57. This week’s schedule is very light, with just two releases. Here is an outlook on the major market-movers and an updated technical analysis for USD/JPY.
US consumer sentiment and unemployment claims were weak, but the yen couldn’t take advantage. The shutdown in the US continues, but the dollar was unaffected as the markets seem to be patiently waiting for the politicians in Washington to get their act together.
Updates:

• Taking it to the wire: Idea of the Day It felt like we were heading towards an agreement in the US last week, only for...
• Video: US closer to the cliff, EUR/USD above support, USD/JPY squeezed: The October 17th debt ceiling deadline is creeping closer. Is market complacency about to end with a storm? In an...
• USD/JPY Targets Further Upside – Technical Analysis: Watch out for more upside as USDJPY remains bullish and targeting further gains. As long as it holds above the...
• Aussie continues to climb against the USD: It felt like we were heading towards an agreement in the US last week, only for it to fall apart...

USD/JPY daily chart with support and resistance lines on it.

1. Revised Industrial Production: Tuesday, 4:30. This manufacturing indicator bounced back from a sharp decline in August, posting a solid gain of 3.4% in September. This beat the estimate of 3.4%. It was the best reading from the indicator since January 2012. The markets will be looking for another strong reading this week.
2. BOJ Governor Haruhiko Kuroda: Friday, 6:35. Kuroda will be speaking at an event in Tokyo. Analysts will be listening closely for any hints as to the BOJ”s future monetary policy, and a speech which is hawkish is bullish for the yen.

TECHNICAL BEAM

A bearish wave pattern is expected to begin formation on this pair. Wave leg C is expected to reach an extreme point at 95.79 after completing its intermediary waves at 97.65 and 98.30 for B and C respectively.
The chart below show a possible move for this pair as described by our calculations.

NOTE: Price predictions produced by FibonacciPrice&PatternTrader may be affected by unforseen events like hurricane, earth quake, flood and other natural disasters consequently changing price patterns already predicted. Hence we advice strict adherence to money management techniques.

HAPPY TRADING