USD/JPY Consolidating before the Bearish Impulse
Good morning traders! Today we want to bring you this medium-long-term analysis in USD/JPY. This pair has consolidated during the last months, without clear direction, but we consider that it has the potential to resolve downwards.
What are we based on to have this forecast?
🔸As we can see, the price was in a downtrend for most of this year.
🔸There is a support zone (now resistance) at 104.500, where each time the price faced it it was rejected, until the third touch of this year penetrated it to the downside.
🔸Right now it is in a consolidation below this zone.
🔸In the daily chart the compression pattern can be seen more clear.
🔸If a bearish impulse begins, it has free path until the next support zone at 102,000.
What are we based on to have this forecast?
🔸As we can see, the price was in a downtrend for most of this year.
🔸There is a support zone (now resistance) at 104.500, where each time the price faced it it was rejected, until the third touch of this year penetrated it to the downside.
🔸Right now it is in a consolidation below this zone.
🔸In the daily chart the compression pattern can be seen more clear.
🔸If a bearish impulse begins, it has free path until the next support zone at 102,000.