Recently, the USD/JPY pair has been trading sideways at the price of 106.98. According to the 4H time frame, I found that price rejected from the support (Fibonacci expansion 161.8%) at the level of 106.66, which is a sign that selling looks risky. I also found a hidden bullish divergence on the stochastic oscillator, which is another sign of strength. My advice is to watch for potential buying opportunities. The upward target is set at the price of 107.47.
Resistance levels:
R1: 107.10
R2: 107.44
R3: 107.66
Support levels:
S1: 106.50
S2: 106.26
S3: 105.95
Trading recommendations for today: watch for potential buying opportunities.
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