The CPI report has come as expected (0.2 % vs 0.2 %) and we can see that the USD is still looking strong. Technically we can spot range bound price action with 2-way trading as USDJPY is moving without a clear trend. H4 timeframe shows V shaped reversal and when we zoom into H1 timeframe we can clearly see 122.90 to the downside and 123.80 to the upside. If price retraces to 122.90 POC (H3,WPP,EMA89,trendline) we should expect some bounce towards 123.40 and if the price rallies towards 123.80 it could be rejected towards 123.40.
For a clear trend I am still looking to buy the dips but the price needs to proceed above 123.80 making it support instead of resistance. That is why I favor 122.90 POC for buying into dips.
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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