​USDJPY Technical Analysis (m/m) :2023-01-31

As you can see on the picture, the USDJPY currency pair was able to form a red class A pattern after breaking the long-term trend line of the bottom above the C range (100.810). After the formation of this pattern, an ABCD and RECIPROCAL pattern was able to rise to the static X area and the 147.390 level. As we are now dealing with a very strong resistance range, we are bearish and expect a correction in the form of an upward movement.

Now we have 2 scenarios in mind:

1. Review of the correction in the low after the failure of the reduction (correction) and rebound to the first static area 2. The possibility of forming a sideways range between 148.365 and 76.666
After the completion of the correction from the current range of 125.197, we can expect that the X-range and the higher price levels will be reached.

urrent time is the general view for the lower time frames.