18 Februari 2021, USD/JPY
Technical observation
On the 4 hour chart above price is pulling back to a supportive zone it established at 105.68. I expect a rejection of it at the line for an increase to the upper side to 106.46. My advice, remain neutral and wait for a correction to the line 105.68 and a rejection at it to buy USD with your take profit at 106.46. In case there is a clear penetration below the line 105.68 with a big red candle, I expect the value of this pair to plummet to the lower side. On your way downwards the key levels to look for include, 104.83, the supportive zone 103.65-103.59 and a the lower supportive level indicated at 102.64.
Trade recommendation
Remain flat.
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