- April 6, 2023
- Posted by: Tradingshot Articles
- Category: Forex
The USDJPY pair hit the sell target we set on our February 28 analysis as it got rejected on the 138.210 Resistance and dropped back to the (dashed) Higher Lows trend-line:
As long as this trend-line holds, it is more likely to see one more rebound first to the 1D MA50 (blue trend-line) for short-term traders and then to the 1D MA200 (orange trend-line) for medium-term traders.
A closing (1D candle) below the dashed trend-line, will be a sell break-out signal for us and we will take the small loss on the buy and target instead the January 05 2021 Higher Lows trend-line.
Similarly, a closing (1D candle) above the 138.210 Resistance will be a buy break-out signal, targeting Resistance Zone 1.
Notice the 1D RSI being on a Higher Lows trend-line of itself. A rebound or break below it respectively enhances the probabilities of buy and sell trades respectively.