USDJPY – Correction scenario

08.09.2023

Daily: bulls managed to break the upper Bollinger envelope, which means that they are ready to continue the uptrend. At the same time, a preliminary correction to the area of the middle Bollinger band (146.00), which is now a key area of demand, seems appropriate.

H4: the pair is trading in the middle range of the upper Bollinger envelope, which also indicates a high probability of testing the middle band (146.67).

H1: the lower Bollinger envelope was broken earlier, which is a downside signal from the middle band (147.53). Thus, we consider a pullback of quotes down towards 146.67, which may be extended in time for the current week.

Conclusions: pullback to 147.53, then decline towards 146.67.

Recommendations: Sell from 147.53 zone to 146.67.