JPY based on support 25/8/2023

The dollar yen achieved the retest idea published during the previous analysis, approaching by a few pips at the required retest target located at 144.40, only to record its lowest level at 144.60.

On the technical side, the pair’s movements witnessed an upward rebound due to approaching the support level represented in the target. As a reminder, we indicated yesterday that the price’s consolidation above 145.70 leads the pair to complete the bullish path, paving the way directly to visit 146.45, recording the highest during early trading at 146.21, by looking at the chart. On the 4-hour chart, we find the return of the Simple Moving Averages to carry the price from below, in addition to consolidation above the resistance of the psychological barrier 146.00.

We may witness the return of the official bullish path today, targeting 146.70 as the first target, taking into consideration that its breach is a catalyst that enhances the chances of a rise, and touching 147.20 is an awaited station, as long as the intraday trading is stable above 146.00, and in general above 144.70.

Note: Today we are awaiting economic data from “Jackson Hole Economic Forum”, “Speech by Lagarde, President of the European Central Bank” and “American Consumer Confidence from the University of Michigan”, and we may witness high volatility in prices.

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: 145.10	R1: 146.70
S2: 144.05	R2: 147.20
S3: 143.50	R3: 148.30