USD/JPY: trade ideas
By Felipe Erazo
The USDJPY has weakened since the resistance level of 101.78, where is located the 61.8 Fibo level and the 200 EMA (green line), so the pair had a direct fall to the level of 101.13. However, remember that the support level of 101.06 is very strong, so the USDJPY could perform a bullish rebound at that level and up to the resistance level of 102.01, where EMA 500 (red line) is located.
On the other hand, as we can see on the H4 chart, if the pair manages to make a breakout in the support level of 101.06, the next target would be the 100.50 level, so the bearish bias could extend for several days. The CCI indicator is showing signs of recovery and the upside.
Trading recommendations: Place buy orders if the USDJPY does a bullish rebound at the support level of 101.06, with take profit at 101.81 and stop loss at 100.90. Also, you can place buy orders if the USDJPY does a breakout at the support level of 100.50.