USD/JPY
The USD/JPY pair dropped on Monday but returned just as quickly to the opening of the day, resulting in a lower shadow of more than 50 points. Today the price continues to grow, aiming for a strong resistance of 104.48 - this is an area close to the trend line of the price channel and the MACD indicator line on the daily.
According to the Marlin oscillator, the wedge has finally transformed into a range (gray area), but it may soon lose its relevance if the price rises. But as long as it is present, there is still a small chance of a price reversal from the current levels. After reaching the 104.48 resistance area, chances of a reversal will increase many times. As the price surpasses the graphical and indicator lines, it can also cross out the plan for a decline and open a new one - to rise to the upper line of the price channel at 105.75.
The four-hour chart shows that the price returned to the area above the MACD line and the Marlin oscillator overstepped the border of the growing trend. Now the price will either continue to rise to the first designated target, or retreat from the current levels. The bears' target is the same - 103.18.
The material has been provided by InstaForex Company - www.instaforex.com