Monday, 18 April 2016

USD/JPY: A Possible Double Bottom?




USD/JPY opened with a gap last night and then proceeded to fall even lower until the pair reached the support at 107.80, where it formed a doji candlestick on the four-hour time-frame and started moving to the upside again, bouncing off the aforementioned support. More importantly, the pair formed what appears to be a double bottom that is quite obvious both on the four-hour time-frame and the daily time-frame. USD/JPY is currently testing the resistance at 109.00 and in my opinion should the pair manage to break above that level the move to the upside will continue. Next target is likely the resistance at 109.60.

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