Taking a look at the higher timeframe charts of USD/JPY, it can be illustrated that the price is nicely moving within the borders of an ascending channel. Monitoring the price action, it can be inferred that the price will most likely visit the area portrayed on the graph (129.2) before pumping to the upside and reaching the zone of the current Higher High. There are three confluences nicely lining up and suggesting a BUY from the 129.2 zone of support. Firstly, the zone serves as a previous zone of resistance later turned support. Secondly, the same zone nicely aligns with 50% Fibonacci retracement level, which gives us another confluence. Last, the lower barrier of the ascending channel nicely intersects with two previously listed areas of confluence.
For the above stated reasons, we are looking forwards towards opening BUY positions.
For the above stated reasons, we are looking forwards towards opening BUY positions.