JPY – A Descending Wedge Screams Bull
JPY showed a quick bout of bull strength on Monday and Tuesday of last week only to fall back down to the bottom of the wedge. That Tuesday bull bar could be the first sign of a reversal.
This week, we should be looking for another bounce off of the wedge to confirm a move to the upside. The first target is the 9EMA of the Monthly chart between 784.0 and 785.0, a brief pullback, then a breakthrough to the previous resistance at 807.0.
If we fall through the wedge, be cautious that JPY will fall much further. JPY has been in a strong descension since March of this year and is showing signs of waning bears. Look for long opportunities at these levels for at least a small swing to the upside.
Trade wisely and let us know what you think in the comment section below!
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