USDJPY Price Analysis – September 2
USDJPY is set to continue a downtrend following several price rejections at significant zones. Price began in a bullish trend before breaking through the 110.520 resistance zone. Following that, there appears to be a retest at this level as the market resumes its downtrend phase. The USDJPY, on the other hand, developed a falling trend line pattern with lower lows.
USDJPY Significant Zones
Resistance Zones: 110.520, 110.080
Support Zones: 109.600, 109.220
USDJPY Long Term Trend: Bearish
The price continues to build lower highs and lows. A rejection occurred at the 109.220 support key zone. Before breaking out of the falling channel, the market appears to have been rejected at this price level. Price rejection appears to be present at 110.080 as well. This is because the bears are battling the bulls. The longer the fight goes on, the more it appears that there are rejections at significant zones.
The Parabolic SAR (Stop and Reverse) indicator, on one hand, shows dots above previous lower highs, indicating an overall decline phase. The Stochastic Oscillator, on the other hand, produces multiple crossovers above 50. This depicts the conflict between the bears and the bulls. The market will then tend to change direction. The Oscillator is above the 50 level and approaching the 100 level, indicating that the bullish ride is coming to an end.