The current technical pattern indicates a possible correction of the USD/JPY currency pair after significant growth over the past two weeks. Trade tension between the US and China supports the demand for safe assets. Near the local resistance of 107.200 a number of Price Action patterns, Inside Bar, (H1 timeframe) have been formed, which are reversal formations. The closest support is the level of 106.850. We recommend you to pay attention to this situation.
If the price fixes below the 106.850 level, you need to look for entry points to the market to open short positions. The immediate goal of fixing profits is the "mirror" support level of 106.450. In the medium term, USD/JPY may reach 106.150-106.00. When following the positions, 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.Open Account