USDJPY Analysis 20/1/2022 1hrLooking at USDJPY pair and it looks interesting to me I think there is several things that can happen with this pair and I think a big move is forming. I think we are hitting a level of support here on this grey line but we also have resistance on this yellow line just above so we are trapped in a zone.
looking at the previous weeks price action we fell out of a formation leaving liquidity up there (grey box). I would like to see a bounce up from this level and then looking to butt heads on the yellow lines. I think we will see an attempt at the high at least but time will tell staying patient when price is like this is very important.
if we break below which is a likely scenario wait for a bearish retest on the grey line before seeing further continuation, if you look at the previous reversal pattern neckline price tested that level to the penny, showing me that if we go down it will need to be ab volatile move as there is several support zones in the one area.
lastly I see a falling wedge (bullish breakout pattern), im sure Thursdays are big news days typically so this means that anything can happen. again with this drawn on the chart its a clear trade the breakout play, if we go long, SL at the grey line of support and TP at the first major level of resistance taking profits along the way. (Pink Lines).
so yeah money to be made in either direction I am favouring the upside but I will be patient and wait for a signal to move.
