USDJPY H4 Long short term idea
On the daily time-frame we can clearly see the leg has formed its high and reversed with an formation just shy of the major resistance region. This was followed by heavy pressure on Friday breaking the and weekly support. Continued pressure into today’s session has seen price break through the as well, in line with the uptrend break. I expect to see some form of hesitation around this 111.00 region possibly with a retest of the 111.50 region within the next couple of sessions before heading towards the 109.50 level of support. As you can see from the chart a Fibonacci tool aligns this level nicely with the refined retracement level. Price gapped slightly lower with the market open last night and after retesting the 111.50 support turned resistance, melted to meet daily support in line with the long-term . The last H4 candle closed as a at this region showing indecision. We await this H4 closure to see another downside rejection and a break back above the 200ema to suggest a new high at a test of 111.50 resistance.