Over the last two trading sessions, USDJPY has been challenging the backside of its previous support turned resistance trend line around the 115.40-60 zone. Prices are projected to fall towards the $12.50 mark if a bearish reversal occurs from present levels. Until the price consistently breaks above the highs of the previous day at about 116.35, the chart does not seem positive. Later, after breaking past 116.35, the USDJPY encountered severe resistance. Since then, prices have fallen through the 113.50 barrier, marking the beginning of a significant decline.

The price is trading above the Pivot Point of 115.43, which is located at 115.37and 115.54, respectively. The ascending channel’s EMA 10 is advancing with a bullish bias and has crossed both the EMA 100 and the EMA 200. Both the 100 and 200-period EMAs are moving upward. When the RSI is around the 70 level, the MACD histogram moves into the green zone. And the Stochastic is going toward the oversold zone. There is not a clear signal coming from the ADX at this time. The Ichimoku Cloud and Chinkou Span are a long way away from market value. A bullish trend may be seen in both the Tenkan- and Kijun-sen indicators.

• There is resistance at 115.54, followed by resistance at 115.60 and 115.71.
• There is support at 115.37 Below, there is 115.26 and 115.20.

Note: We do not suggest any investment advice, and these analyses are just to increase the traders’ awareness but not a certain instruction for trading.