USD/JPY: Ichimoku analysis
Daily. USD/JPY has recovered to the bottom of the Ichimoku cloud during the past few days and continues to consolidate below the important mark of 98.60. Note that here is a strong resistance level and Kijun (KS). It’s obvious that the future of the currency pair will be determined precisely at this level. Break upwards would mean the victory for of bulls and growth at least to 99.60. If the resistance 98.60 persists, we can expect a rapid depreciation of the pair towards October lows.
Chart. Daily USD/JPY
H4. At H4 the pair is getting to the positive territory, but is still unable to settle above the upper boundary of the cloud. Note that the Senkou Span A and Senkou Span B switched the cloud to the bullish state. The buying interest may increase in the near future. If the market doesn’t hold above the Senkou Span B, we’ll be waiting for the development of the bearish scenario.
Chart. H4 USD/JPY
Tatyana Norkina for FX BAZOOKA