Forex Technical Analysis: Trend potential – Wait for correction around (108.03-107.75)

USDJPY – Down

Technical observation

After the correction of price to the resistance zone (108.03-107.75) it got rejected within the zone then went down yesterday. Currently, the pair is retracing back to the zone and I expect a possible rejection of it within or around the zone for bearish movement of price towards 105.55 or even a breakout below it for a further decline of price. My advice, wait for a pullback to the zone the re sell USDJPY with your take profit around 105.55 and stop loss around 109.77.In case there’s a clear breach of price above (108.03-107.75), wait for a correction to the zone to confirm the price is moving up before you enter long positions.

Technical levels

Resistance levels

R1.106.56

R2.106.86

R3.107.6

Pivot

106.18

Support levels

S1.105.85

S2.105.39

S3.104.65

Trade signal

Wait for correction around (108.03-107.75)to re sell USDJPY with your take profit at 105.55 and stop loss around 109.77.

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