09 April 2018, USD/JPY
Technical observation
USDJPY broke down below a key support zone (107.69-107.02) with a big red candle, price then retraced to the zone twice making it a key resistance zone. Currently price is pulling back to the zone and is within it and I expect a rejection of it within the zone for a bearish momentum towards 100.56.You can short USD now with your take profit at 100.56 and stop loss at 109.40.If price breaks above (107.69-107.02) with a big green candle, wait for a correction to the zone then long USD towards the key line 114.73.Right now only short [positions look ideal and can be advise within or around the zone (107.69-107.02).
Technical levels
Resistance levels
R1.107.73
R2.108.53
R3.110.37
Pivot
106.7
Support levels
S1.105.9
S2.104.86
S3.103.02
Trade signal
Sell USD with your take profit at 100.56 and stop loss at 109.40.