USDJPY – Selling after correction

07.07.2023

Daily: the overbought pair moved to a technical correction, which can reach the middle Bollinger Band (142.65). This area may be interesting for medium-term buying, as the upper boundary of the Bollinger envelopes has not been tested yet.

H4: massive breakdown of the bottom Bollinger envelope is a signal of further downside of the quotes in the direction of 142.65.

H1: in the given conditions the middle Bollinger band is a promising sell-off area (144.31-144.42 zone). We expect a pullback to this area and sell, counting on a fall to 143.50.

Conclusions: correction to 144.31-144.42, then fall to 143.50.

Recommendations: Sell from the zone 144.31-144.42 to 143.50.