USD/JPY Wave analysis and forecast for 26.01 – 02.02

Estimated pivot point is at a level of 109.80.

Main scenario: short positions will be relevant from corrections below the level of 109.80 with a target of 108.20.

Alternative scenario:Breakout and consolidation above the level of 109.80 will allow the pair to continue the rise up to the levels of 111.48 – 113.40.

Analysis: Supposedly, a descending correction in the form of the wave 2 of senior level continues developing within the 4-hour time frame. Apparently, the wave с of 2 is forming now, with the wave (v) of c developing within. If this assumption is correct, the pair will go on dropping to the level of 108.20. The level 109.80 is critical in this scenario.