JPY may witness a decline 22/8/2023

As we indicated during the previous report, the dollar/yen pair found pivotal resistance at 146.50, explaining that breaching the mentioned resistance level is a condition for resuming the bullish trend.

On the technical side, the pair witnessed a bearish trend due to touching the resistance of 146.50. Upon closer look at the chart, we find signs of negativity began to appear on the stochastic indicator, in addition to a temporary decline in the bullish momentum.

We may witness a bearish inclination in the coming hours, targeting a retest of 145.30 as the first target, and breaking it may extend the losses, as we are waiting for the next target of 144.60.

From above, it crossed upwards, and the price consolidated above 146.55, leading the pair again to complete the bullish path, opening the door to visit 147.10.

Note: Today, we are waiting for the summit of the “BRICS” group throughout the day, and we may witness high price fluctuations.

Note: Trading on CFDs involves risks. Therefore, all scenarios may be possible. This article is not a recommendation to buy or sell but rather an explanatory reading of the price movement on the chart.

S1: 145.30	R1: 146.55
S2: 144.60	R2: 147.10
S3: 144.05	R3: 147.80