- USD/JPY has been having a bullish correction.
- The momentum has been strong, so it may end up making a bullish breakout.
- The H1 chart looks bullish.
- Intraday minor charts have been bullish.
USD/JPY- Technical Analysis-H4 Chart
The chart shows that the price has been heading towards the North with good bullish momentum. The pair still trades below the simple moving average 30. Thus, the sellers may keep their eyes on the price action around the SMA 30’s resistance. Looking at the chart, it seems that the level of 150.400 may work as a horizontal level of resistance as well. Thus, a bearish reversal pattern at the confluence level may generate more bearish pressure and drive the price towards the South.
On the contrary, the way the price has been heading towards the North, it may end up making a breakout at the confluence level. A bullish reversal pattern at the breakout level may push the price towards the North. The pair may find its resistance around 151.700.
Price Action Analysis- H1 Chart
The chart shows that the price has been heading towards the North by obeying a trend line. At the last bounce, it produced a bullish inside bar; consolidated for a while then moved towards the North. The price may find its resistance around 150.400. The buyers may keep their eyes to get a bullish breakout at that level to go long and push the price towards the upside. The price may find its resistance around 151.000.
On the contrary, if the price breaches the trend line, the sellers may wait for the price to confirm the breakout followed by a bearish reversal pattern to go short in the pair. The price may find its support around 149.000.
Written by: Md Tareq Sikder, Senior Analyst Forex Prop News
Contact and follow Tareq on Twitter: @tareqfpn