The current technical pattern indicates a possible correction of the USD/JPY currency pair after a significant drop since the beginning of this year. The trading instrument held the round level of 105.000, which caused the bullish sentiment. At the moment, a fairly strong reversal formation of the price and MACD histogram divergence has been formed (D1 timeframe). The local resistance is the level of 106.850. We recommend you to pay attention to this situation.
If the price fixes above the 106.850 level, you should consider buying USD/JPY. The immediate goal for fixing profits is the "mirror" resistance of 107.750. In the medium term, USD/JPY may reach the round level of 109.000. Confirmations and entry points to the market should be looked for on lower timeframes. When tracking the position, we recommend using a trailing stop.
This article reflects a personal opinion and should not be interpreted as an investment advice, and/or offer, and/or a persistent request for carrying out financial transactions, and/or a guarantee, and/or a forecast of future events.