USDJPY Market Analysis and Trading Strategies.
*Personal Opinion
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Waveforms of each time leg
Weekly
Downtrend.
Currently, the market is in a consolidation phase, possibly before the emergence of the fifth wave of the downtrend.
Daily
Bullish outlook.
A range has formed between 142.3 yen and 148.5 yen.
The price once rose near the upper boundary of the range but was strongly pushed back.
It is currently rebounding near the lower boundary of the range.
4-Hour
The downtrend has shifted to an uptrend.
Currently, the price is rebounding at the previous high line.
After this, it may either continue to rise or come back once more for a correction.
1-Hour
There was a sharp rise following last week’s employment statistics release, and the outlook remains bullish.
After a downtrend appeared on the lower timeframes, the price has been moving sideways.
Trade Strategies
As long as the last swing low on the 4-hour chart is not broken, the probability favors buying.
Watch the price action at each support line and consider entering a long position.
If the current price continues to consolidate sideways, aim to enter as close to the lower end of that range as possible.
If the downward momentum strengthens and new lower highs and lower lows are formed, consider a short-term short entry.
However, since this goes against the trend on the higher timeframes, pay close attention to the risk-to-reward ratio.
