FX.co ★ Technical analysis and trading recommendations for the USD / JPY currency pair as of May 8, 2018

The currency pair USD / JPY, having reached the psychological level of 110.00, felt resistance, thus forming a corrective movement. Now, we see a fluctuation near the value of 109.00, the formation of two-digit candles. Considering the graph H4, we can notice the formation of the graphics model "Head and shoulders", which is quite consistent with the rules, the neckline has a small downward angle. On common fronts, the dollar is overbought, and we see it on all major currency pairs, which reinforces the confidence in the reality of our pattern (Head and shoulders). In the case of fixing the price below 108.60, I would assume a break of the neckline, with the opening of the stroke to the range level of 108.00 / 107.80.

Attention: Forecasts are not a direct guide to action!