We're short towards 106.45 | 21 July 2020
21 July 2020, USD/JPY
Technical observation
On the 4-hour chart above, price is trading with an increasing bearish momentum below a resistance zone 107.49-107.40 and as long as it is contained below this zone, you can only anticipate bearish momentum. However, should price break above the same zone you can expect upwards movements of price towards 108.44. If you sold USD within 107.49-107.40 after a rejection, remain in short with your take profit at 106.45 and stop loss at 107.78. In case of a penetration below the line 106.45 with a big red candle, wait for a correction to the just broken line and a bounce before you continue short with USD.
Trade recommendation
Remain short with your take profit at 106.45.
The author's opinion reflects their personal view and is not an investment recommendation. The company is not responsible for any trading results based on the provided analytical data.
