Forex Technical Analysis: Trend potential – Short USD now

USDJPY – Down

Short USD now

Technical observation

The pair on the daily chart above broke below a key support zone(108.03-107.75) then proceeded down up to a key line 105.55,price then got rejected at the key line and was recently correcting to the zone. After days of rising, SD could not break above the zone and was rejected. I expect possible bearish movements of price towards 105.55 or even further lower to 102.44 if 105.55 gets broken below.my advice, short USD now with your take profit at 105.55 and stop loss around 109.77.Long positions will only be ideal if there’s a clear breach of price above (108.03-107.75) with a big green candle and a correction to the zone.

Technical levels

Resistance levels

R1.106.56

R2.106.86

R3.107.6

Pivot

106.16

Support levels

S1.105.85

S2.105.39

S3.104.65

Trade signal

Sell USDJPY now with your take profit at 105.55 and stop loss around 109.77.

FreshForex cancels commissions!

You may check other analytical reviews on FreshForex website. Source: freshforex.com.