USDJPY – Down
Daily chart: price will touch upper Bollinger band (116.71). The pair is overbought and there are signs of oscillator divergence. From a technical point of view, that means market is ready for reversal to 109.56 (middle Bollinger band).
Н4: There is bear oscillator divergence in this frame too. However, do not forget that lately strong movement reversals occur through new highs. Moreover, today NFP report is to be published which usually blows the quotes. That’s why consider seeking for new buy signals on one of the support levels (113.13 and 111.43).
Н1: 113.83 support (lower Bollinger band) backs up bears so far. However, do not underestimate 113.13 support level attraction.
Expectations: wait for a drop to 113.13 after what upward shift to touch 116.71. Of course, any reverse scenario is possible (e.g. a drop to 111.43)
Solutions: consider buying in the range of 113.13 and 116.71, and after that selling from 116.7.
You may check other analytical reviews on the web-site of FreshForex company. Source: freshforex.com.
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