USDJPY Trying to Carve Powerful Base
240 Minute Bars
Prepared by Jamie Saettele, CMT
The USDJPY has stabilized following Wednesday’s reversal from above 7900. “The drop has retraced slightly more than 50% of the advance from 7712, tested the Monday low at 7816 and held the figure. The 61.8% retracement at 7792 and 9/12 high at 7796 is now support. “The pattern described in recent days remains the same. That is, the drop last week after the Fed composes a terminal thrust from a triangle. The implications are for a return to the top of the triangle at 8060. I am bullish.” Also worth nothing is the possibility of an inverse head and shoulders with an upward sloping neckline (more bullish than downward sloping).
LEVELS: 7750 7774 7796 7855 7890 7921
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