The USD/JPY pair is trading below its downward trend line on a 4 hour time frame. This confirms that the trend is skewed towards the downside and as long as we remain above this trend line, the bias may remain for further downside move.
The price did pierced the Bollinger band but it is within the band now and this confirms that the volatility is low. The piercing of the Bollinger band does have a significant importance amid some traders, as they do cosnider this is as an opportunity to buy or sell. The significance of the piercing of the Bollinger band is even higher when this takes place at an important level of support or resistance. Under the circumstances we are still a little away from the minor resistance zone, which is mentioned below.
The reading for the Bollinger the upper and lower bands are 112.18 and 107.71 respectively.
The RSI is trading at 57.75 which is near the overbought territory and this may push the price lower or trigger a pause for the price action.
|Minor Support||Major Support||Minor Resistance||Major Resistance|