We remain bearish on the USDJPY pair, and I think the pair might continue to trade lower. The pair is currently correcting higher, and it looks like it is forming a wave duplication pattern which could complete near 121.00 where we can plan on entering a sell trade. So, we can wait for the pair to trade higher to enter a trade.
Alternatively, if the pair trades lower from the current levels, then we can look to enter a sell trade with a break. There is a bullish trend line formed on the hourly chart, which can fulfil our purpose.
Technical Analysis
Entry
H1– Chart highlighting the 121.00 resistance area for a sell entry.
Alternative Entry:
H1– We can enter a sell trade in the USDJPY moves lower, breaks the highlighted trend line and settles below it.
Target 1: 118.00
Target 2: 116.50
Stop Loss: Above the last high created before entering the trade
Video Explanation:
Yours,
Vladimir
