A retest at the H1 supply from 106.76/106.63 may spark interest
USD/JPY:
Monthly timeframe:
(Technical change on this timeframe is often limited though serves as guidance to potential longer-term moves)
Since kicking off 2017, USD/JPY has been busy carving out a descending triangle pattern between 118.66/104.62. The month of March concluded by way of a long-legged doji candlestick pattern, ranging between 111.71/101.18, with extremes piercing the outer limits of the aforementioned descending triangle formation.
April was pretty uneventful, ranging between 109.38/106.35. May, on the other hand, trades lower by nearly 1.00%.
Areas outside of the noted pattern can be seen at supply from 126.10/122.66 and a demand coming in at 96.41/100.81.
Daily timeframe:
Although scratching in a modest recovery Thursday, snapping a four-day losing streak, sellers clearly still have the upper hand in this market. Price action, as you can see, remains entrenched within the parapets of demand from 105.70/106.66; abandoning its position may eventually see demand at 100.68/101.85 make a show.
H4 timeframe:
Partially altered from previous analysis -
A bearish pennant pattern between 106.92/108.07 took hold after having its lower boundary taken in recent weeks. Traditionally, take-profit targets out of bearish pennant patterns are formed by measuring the preceding move (109.38-106.92) and adding the value to the breakout point (black arrows – 104.89).
Thursday observed price reject a local trendline support-turned resistance (106.35), shifting focus towards demand at 105.75/105.17, an area sited just above the bearish pennant’s take-profit target.
H1 timeframe:
Supply at 106.76/106.63 knocked some of the wind out of the US dollar’s rally on Thursday, aided by the 106.50 level and the 100-period simple moving average (SMA). With respect to support, 106 calls for attention, with a break perhaps exposing the upper layer of H4 demand at 105.75.
Structures of Interest:
The response out of daily demand at 105.70/106.66 echoes a fragile tone, as well as monthly price also exhibiting scope to navigate lower levels, strengthening the possibility of the H4 bearish pennant pattern completing its target of 104.89.
A retest at the H1 supply from 106.76/106.63, therefore, may spark seller interest, as might a break through 106. Though do recall the upper layer of H4 demand at 105.75 lurks nearby.
Monthly timeframe:
(Technical change on this timeframe is often limited though serves as guidance to potential longer-term moves)
Since kicking off 2017, USD/JPY has been busy carving out a descending triangle pattern between 118.66/104.62. The month of March concluded by way of a long-legged doji candlestick pattern, ranging between 111.71/101.18, with extremes piercing the outer limits of the aforementioned descending triangle formation.
April was pretty uneventful, ranging between 109.38/106.35. May, on the other hand, trades lower by nearly 1.00%.
Areas outside of the noted pattern can be seen at supply from 126.10/122.66 and a demand coming in at 96.41/100.81.
Daily timeframe:
Although scratching in a modest recovery Thursday, snapping a four-day losing streak, sellers clearly still have the upper hand in this market. Price action, as you can see, remains entrenched within the parapets of demand from 105.70/106.66; abandoning its position may eventually see demand at 100.68/101.85 make a show.
H4 timeframe:
Partially altered from previous analysis -
A bearish pennant pattern between 106.92/108.07 took hold after having its lower boundary taken in recent weeks. Traditionally, take-profit targets out of bearish pennant patterns are formed by measuring the preceding move (109.38-106.92) and adding the value to the breakout point (black arrows – 104.89).
Thursday observed price reject a local trendline support-turned resistance (106.35), shifting focus towards demand at 105.75/105.17, an area sited just above the bearish pennant’s take-profit target.
H1 timeframe:
Supply at 106.76/106.63 knocked some of the wind out of the US dollar’s rally on Thursday, aided by the 106.50 level and the 100-period simple moving average (SMA). With respect to support, 106 calls for attention, with a break perhaps exposing the upper layer of H4 demand at 105.75.
Structures of Interest:
The response out of daily demand at 105.70/106.66 echoes a fragile tone, as well as monthly price also exhibiting scope to navigate lower levels, strengthening the possibility of the H4 bearish pennant pattern completing its target of 104.89.
A retest at the H1 supply from 106.76/106.63, therefore, may spark seller interest, as might a break through 106. Though do recall the upper layer of H4 demand at 105.75 lurks nearby.
כתב ויתור
המידע והפרסומים אינם אמורים להיות, ואינם מהווים, עצות פיננסיות, השקעות, מסחר או סוגים אחרים של עצות או המלצות שסופקו או מאושרים על ידי TradingView. קרא עוד בתנאים וההגבלות.