USD/JPY wave analysis and forecast for 05.01 – 12.01

Estimated pivot point is at a level of 112.03. 

Main scenario: long positions will be relevant from corrections above the level of 112.03  with a target of 114.73.

Alternative scenario:  breakout and consolidation below level 112.03  will allow the pair to continue drop to the level of 1.3296.

Analysis: supposedly, wave (С) of senior level continues developing within 4-hour timeframe. Wave 3 of C started forming inside it. Apparently, the descending correction in the form ii of 3 has completed, and wave iii of 3 has started forming. If the presumption is correct, the pair will continue rising to the level of 114.73. The level 112.03 is critical in this scenario.