USD/JPY Greetings! Based on the current technical analysis of the movement of the currency pair US Dollar/Japanese Yen, it is noticeable that the strength of the bulls is gradually increasing. This can be seen in the fact that corrections to the downside on the four-hour chart are ending at higher levels. In particular, the latest local low of the pair is near the round level of 142.00, meaning that the bears were unable to even attempt a breakthrough of this round level, and to decline at least to the support at 141.60, while the main current low of the pair remains at the level of 139.85. Moreover, the Bollinger Bands on the four-hour chart are also starting to turn upwards, indicating a potential trend reversal. In the immediate future, I believe we should expect a phase of growth within the day, as the 4-hour Stochastic is trying to exit the oversold area of the pair and provide support to the bulls. We need to monitor where the bulls can push the quotes and where the next local high will form. I assume this could be in the resistance range between the middle of the 144 figure and the beginning of the 145th at the level of 145.10. In this case, the bulls in the USD/JPY pair will additionally break through the upper Bollinger Bands boundary, and consequently, the pair will enter the area of active buying. Therefore, in the event of such growth, we can consider the transition from a descending four-hour trend to an ascending one as completed.
