Wave (w) decline from 97.12 has ended at 94.36. From this level, wave (x) bounce is unfolding in a double three structure (w)-(x)-(y) where wave (w) ended at 95.7, wave (x) ended at 95.3 and wave (y) is in progress towards 96.67 – 97 to complete wave (x). We don’t like buying the proposed bounce. As far as 97.12 pivot stays intact, we expect the pair to continue lower once wave (x) bounce is complete in the area above or it should at least pullback in 3 waves to correct the rally from 94.36 per Elliott Wave hedging idea.

CADJPY

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