The key resistance zone 103.90-104.09
09 November 2016, USD/JPY
Daily chart: the price is going to break the lower Bollinger envelope, but of course it is too early to talk about it. Let's check how the day will be closed. Sellers have a good chance to drop the price to the psychological mark of 100.05.
Н4: the price has almost played back overall decline on news in the form of a noticeable bull inside bar. But let's see how the market will react to resistance 103.90, where all three frames place their middle Bollinger bands. Also previously the bottom envelope had been pierced. This is, on the one hand, a southern signal, but on the other hand, a bollish convergence of the oscillator. The situation is Fifty\fifty.
Н1: a similar picture. We are waiting for reaction to zone 103.90-104.09 and will act based on breakout or rebound.
The main scenario - touch of zone 103.90 and then fall towards 101.58
The alternative scenario - a breakthrough of zone 104.09 and growth to 105.31
1. Sell from zone 103.90-104.09 (after formation of the signal). The targe is 101.58
2. Buy on a breakthrough of the area around 103.09 to 105.31
Aleksey PanasenkoAnalyst of «FreshForex» company
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