❗️ USD/JPY Bearish Pullback Challenges Bottom of Trend Channel ❗️
Hi traders,
The USD/JPY bounced again at the resistance lines (orange) of the uptrend channel. Price is now retesting the support line (green) of the same channel which is a key decision zone for a bullish breakout or bearish bounce.
USD/JPY
4 hour
The USD/JPY bearish breakout could indicate the end of the wave D (purple) correction whereas a bullish bounce could see price move higher towards the Fibonacci target.
1 hour
The USD/JPY made a deep bearish correction but this could still be part of a wave 4 (green) correction as long as price stays above the 50% Fibonacci retracement level. A break above the resistance trend line (red) could confirm a bullish breakout and continuation towards the Fibonacci target.
Good trading,
Chris Svorcik
Elite CurrenSea
