USD/JPY remains bearish at the displayed 157.583, despite a corrective recovery from the recent low. The Elliott Wave count preserves the earlier ending diagonal at blue X, followed by a decline labeled red 1–5 and green (1)–(3). The latest rebound carries purple W-X-Y labels, with green (4) near 157.75. Since October 23, the previously projected decline has given way to a corrective recovery, without confirming a bullish reversal. The blue projection anticipates renewed weakness toward approximately 156.65, with 156.076 marked as the further-downside objective. The chart identifies 157.827 as the bottom of the first wave and an important bearish invalidation reference, while 158.604 is the explicitly annotated broader invalidation level.
Technical Summary of USD/JPY Price for October 26, 2026
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Trend: Bearish.
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Current Elliott Wave: Green (4) corrective rebound with purple W-X-Y; further decline projected.
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Key Support Levels: 156.65 (projected); 156.076 (annotated downside objective).
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Key Resistance Levels: Approximately 157.75 (wave (4) area); 157.827; 158.604.
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Next Price Target: Approximately 156.65, followed by 156.076 if selling extends.
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Invalidation Level: 157.827 (first-wave overlap reference); 158.604 (annotated broader invalidation).
Trader's Question: Can USD/JPY resume its decline after wave (4)?
A rejection near the corrective high would favor renewed weakness, while a sustained move above 157.827 would raise a mandatory Elliott Wave overlap concern for the proposed impulse.