FBS: trading recommendation for USD/JPY
By Tatyana Norkina, FBS analyst
The pair broke below resistance in the 102.40/102.45 area, recovering during the first half of the day. As a result, trading moved into positive territory and now is taking place above the Ichimoku Cloud. Accordingly, this allows us to assume the continuation of the uptrend.
Ichimoku indicator. Analysis of indicators on different timeframes confirms the assumption of a possible further increase of the currency pair. Indeed, the Ichimoku Cloud was as bullish on H1 and on H4. The presence of a gold cross on H4 strengthens the position of the buyers. But there is also a need to pay attention to the location of the Chinkou Span, which indicates the market is overbought. Therefore, before the breakdown of resistance 102.65/102.80 the pair may once again test support at 102.45 – the upper limit of the Cloud on H1.
Technical levels: Support - 102.40 / 102.45; resistance - 102.65 / 102.80.
1. Buy - 102.40; SL - 102.20; TP1 - 102.80; TP2 - 103.00.