USDJPY – Down
Technical observation
On the weekly chart above,USDJPY broke above a resistance zone (108.55-107.74) then rose up. Price then retraced to the zone and failed to break below it and was contained at the zone with four retracements to it making it a key support zone. Last week, price broke below the zone with a big red candle and is still below it, I expect a correction to the broken zone and a possible rejection of price at it to short USDJPY towards 100.47.Right now only short positions look ideal and can be advised around or within the resistance zone with your take profit at 100.47 and stop loss around 110.26.
Technical levels
Resistance levels
R1.108.32
R2.110.33
R3.113.72
Pivot
106.93
Support levels
S1.104.92
S2.103.54
S3.100.14
Trade signal
Wait for a correction and a rejection to (108.55-107.74) then short USD with your take profit at 100.47 and stop loss around 110.26.
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