USD/JPY Pullback in Uptrend after Hitting 108 Target
|The USD/JPY bullish momentum has created a steep uptrend channel which almost reached the 261.8% Fibonacci target. A break below the channel could indicate a bearish retracement within the uptrend.
USD/JPY
4 hour
The USD/JPY seems to moving higher within a wave 3 (pink) impulse and one more push higher could see price hit the 261.8% Fibonacci target of wave 3 vs 1. A mild correction however could be expected completed as the price reaches a daily resistance zone (red box). The Fibonacci retracement levels of wave 4 vs 3 are expected to act as support and could become a bouncing spot for an uptrend continuation.
1 hour
The USD/JPY uptrend is aiming for the Fibonacci targets of the wave 5 vs 1+3 but a break below the support trend line (blue) could indicate a bearish correction first. The main support zone for a trend continuation could be the 107.50 round level, after which the uptrend could aim for round levels such as 109 and 110.
The analysis has been done with the CAMMACD.MTF template.
For more daily technical and wave analysis and updates, sign-up up to our ecs.LIVE channel.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.