The USDJPY pair is currently experiencing a continuous pattern characterized by a descending triangle, indicating a period of consolidation prior to the market’s decision on the next movement direction. This pattern presents the potential for a trend continuation if the price successfully executes a valid breakout, either above the resistance zone or below the key support. Observing the price action, the price has rebounded from the equilibrium level, recognized as a strong support, demonstrating solid buying interest at that level.
Technical support for a potential ascent in USDJPY is also gaining strength. The Moving Average remains oriented bullish, reflecting a fundamentally positive trend, while the CCI is sharply rising from the low or oversold region, signaling a resurgence of buying momentum in the market. This combination of a rebound off robust support and favorable indicator signals allows for continued upward potential in USDJPY, provided the price stays above the equilibrium and buying pressure persists.
Recommended
Recommended
Recommended
Recommended
On the 15-minute chart, USDJPY reveals upward potential after the price managed to breach a bearish resistance channel, indicating a shift in short-term momentum. The Moving Average indicates an upward direction as an initial signal of trend change, while the CCI rebounding from the oversold zone reinforces the return of buying pressure in the market. With these combined signals, USDJPY holds the possibility of further strengthening towards testing the resistance level at 156.590, as long as the price continues to hold above the breakout area.
Technical Reference: buy while above 156.590
Potential Take Profit 1: 156.585
Potential Take Profit 2: 156.775
Potential Stop Loss 1: 155.935
Potential Stop Loss 2: 155.755
