We are bullish towards 114.62 | 26 October 2021
26 October 2021, USD/JPY
Technical observation
On the 4 hour chart above, price retraced to a supportive zone 113.58-113.65 but could not break below it; it was contained above the zone and is currently trading with an increasing bullish bias. I expect price to rise steadily to the resistance level 114.62 followed by either a clear breakout above it with a big green candle, or a bounce at it followed by another correction to the supportive zone I have mentioned above. If you bought USD within the zone 113.58-113.65 after a bounce, remain long with your take profit at 114.62 and stop loss at 113.14. In case of a penetration below the zone 113.58-113.65, wait for a pullback to it before you short USD towards 112.07.
Trade recommendation
Remain long with your take profit at 114.62.
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.
