JPY – A Bullish Pullback is Here!
JPY is forming a beautiful descending wedge and after 13 weeks of formation, the time may be near for a pullback to the previous resistance. The consolidation to the downside is slowing and lower lows aren't, well, going as low with each passing week. The RSI is nearly oversold, and this all points to some decent bull bars on the horizon.
This pullback could take us to the 200EMA on the Daily at the 798.0 level, and perhaps beyond to the 807.4 level at the previous resistance. I would wait for a capitulation to the downside followed by a bull signal bar and confirmation bar. Be cautious trading JPY pairs until we see the reversal signal.
Trade wisely and let us know what you think in the comment section below!
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