JPY: Positivity needs confirmations 19/10/2023

A gradual rise to the top has characterized the USD/JPY pair’s movements. Building on a solid support floor at 149.00, the pair has been trying to break the resistance level of the psychological barrier of 150.00, but it has been unable to do so so far.

On the technical side today, we tend to be cautiously positive in our trading, relying on the positive motivation from the simple moving averages and positive momentum signals on short time intervals.

We prefer to witness a clear and strong breakthrough and price consolidation above 150.10, as this is a motivating factor that opens the way towards 150.50 and then 151.00, respectively.

Trading stability and price consolidation again below 149.00 invalidates the activation of the bullish scenario. It leads the pair to the official path within a bearish correction procedure, with an initial target of 148.65 and extending towards 148.30.

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: 149.00	R1: 150.10
S2: 148.30	R2: 150.50
S3: 147.85	R3: 151.10