"USD/JPY Technical Analysis: Key Levels and Trend Outlook"
In the 4-hour timeframe, the USD/JPY currency pair has recently broken below its ascending trendline, indicating a shift toward a bearish sentiment. The price is currently approaching the key support zone between 151.91 and 152.46, which aligns with the 0.786 and 0.886 Fibonacci retracement levels. This area is expected to act as a significant resistance if the price attempts a pullback.
The Ichimoku cloud indicates bearish momentum, with the price positioned below the cloud. Furthermore, the Alligator indicator shows a clear bearish crossover, confirming the continuation of the downward trend.
The next potential target for the bearish movement is the 149.03 level, which corresponds to the 1.414 Fibonacci extension and acts as a critical support zone.
Conclusion: If the price remains below the 151.91-152.46 resistance zone, further declines toward 149.03 are likely. However, a break above this resistance could invalidate the bearish scenario and signal a potential reversal. Traders should closely monitor these levels for confirmation of the next price direction.
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