Latest comments from FED members pushed the pair to the upside again re-aligning technical with fundamental analysis. As I have already explained couple of times with EURUSD analysis selling the rallies is the valid option while buying the dips with USDJPY is valid option too. Adding to my previous comment about technical and fundamental realignment, the USD gained on US strong jobs data as Fed is one step closer to a rate hike.
Technically the pair is following a bullish zig zag pattern with a strong confluence in POC zone. 122.60-40 is the zone where the pair might bounce on retracement (88,6, E89, L3, previous vs now moment buyers). From historical vs now moment perspective (the candle marked with red) we can see that the zone is historically strong as strong buyers have already protected the zone. 124.40 should be target but high momentum or H4 candle close is needed above 123.75 which is also a breakout point for the pair. The correlation with EURUSD is highly negative so it complements our EURUSD view too.
The analysis and the article presents Nenad's opinion. Remember, financial trading is highly speculative & may lead to the loss of your funds. Proper risk management is the Holy Grail of trading.
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