USDJPY has been contracting for 3 months in what’s taken the shape of a triangle. Triangles tend to (not always) serve as continuation patterns. Since the move prior to the triangle was up, I’m mentally prepared for another bull leg in USDJPY. There is a high volume level from Tuesday at 106.91. Watch that for support. 108.70s remains a near term upside level. Bigger picture, USDJPY is in position to make a massive move. Bollinger band width (not shown) has been at least this low just several times since 2014. Each reading this low led to a breakout and trend. Extremely tight bands tend to occur towards the end of consolidation and before a trending move.
Director of Technical Research at Krilogy, author Sentiment in the Forex Market
Twitter: twitter.com/jamiesaettele
Website: krilogy.com/
Twitter: twitter.com/jamiesaettele
Website: krilogy.com/
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Director of Technical Research at Krilogy, author Sentiment in the Forex Market
Twitter: twitter.com/jamiesaettele
Website: krilogy.com/
Twitter: twitter.com/jamiesaettele
Website: krilogy.com/
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.