USDJPY (11 October 2016)

Hello traders, in my home language: Dumelang 🙂

USDJPY made a significant move last week closing above descending channel resistance that extends from the 2016 high at 121.68. It has been a long wait for this breakout. last week’s rally topped out at 104.15 before retreating to 102 ahead of the weekend.

I am observing how the market responds to the 104 area last Thursday and Friday which to me indicates that 104.00 is indeed a critical level to keep an eye on.

A daily close above the 104.00 handle could perhaps attract enough bulls to push it up o to the July high at 107.50.
Keep in mind that bears could be patiently waiting at 106 zones on the way up.

I’m waiting for a pullback to the fib zones and CPP/MPP area. Should there be none, I will wait for a daily close above the 104 level. I’ll need to see the area retested as role reversal new support before committing long.

USDJPY_D1 2016-10-11

Looking to go long between MM3 and MPP which are also fib zone areas. another option is to wait for a break and close above the 104 handle then wait for a retest before going long.

USDJPY_D1 2016-10-11

Updated the USDJPY_H4 2016-10-11

Looking to go long at WPP targeting WR2. at this level there is also the 55ema which predicts a double top(in this case a triple top) so a conservative target would be the at the top of the range should price action return from the 55em. Another conservative entry may be at the pivot support area seen at the WM2 area which is in the fib zone.

Updated the USDJPY_H1 2016-10-11

Oh the hourly time frame, price could pull back between DM2 and DM1 areas.

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