- USD/JPY is having a bearish correction.
- The pair trades around a horizontal support.
- The H1 chart looks bullish.
- Intraday price action has been bullish.
USD/JPY- Technical Chart-H4 Chart
The pair made a bullish move by producing an ABC pattern. On its way, it made a bullish breakout at the simple moving average 30 and consolidated around it for a while. It then moved towards the North and had a rejection around 147.950. Since then it has been having a bearish correction. The buyers may wait for the price to produce a bullish reversal pattern at the SMA 30 to go long in the pair. The price may find its next resistance around 148.700.
On the downside, if the price makes a bearish breakout at the SMA 30, the sellers may wait for the price to make a breakout confirmation followed by a bearish reversal pattern at the SMA 30 to go short in the pair. The price may find its next support around 146.650.
Price Action Analysis-H1 Chart
The chart shows that it has been bullish for quite a long period. It had a rejection around 147.940 and made a bearish correction. The price seems to have found its support around 147.550. As of writing, it has been heading towards the North again. However, the sellers may keep their eyes on the pair to go short upon having a bearish reversal pattern at the last swing high. The price may find its support at 147.550. In case of a bearish breakout at today’s low, it may head towards the South further and find its support around 147.150.
On the upside, if the price makes a bullish breakout at 147.940, the buyers may add their positions and push the price towards the North. The price may find its next resistance around 148.400.
Written by: Md Tareq Sikder, Senior Analyst Forex Prop News
Contact and follow Tareq on Twitter: @tareqfpn