USDJPY – Down
Technical observation
After breaking below a support zone (108.44-108.12),USDJPY traded up to a key support line 108.55,it could not break below it and so it got rejected and is currently rallying towards the broken support zone, I expect a possible rejection of it at the zone to short the pair with my take profit at 105.55 and stop loss around 109.77.If it breaks down below 10555,wait for a correction to it before you continue short. If there’s a clear breach of price above (108.44-108.12),wait for a correction to it before you long USD with your first take profit at 111.40 and the next around 114.32.
Technical levels
Resistance levels
R1.106.56
R2.106.86
R3.107.6
Pivot
106.14
Support levels
S1.105.85
S2.105.39
S3.104.65
Trade signal
Wait for a correction to (108.44-108.12), then sell USDJPY with your take profit at 105.55 and stop loss around 109.77.
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