JPY Basket: Trend Reversal in Play – Bullish Breakout ExpectedThe JPY Basket is showing signs of a potential bullish reversal after reaching a key support zone at 6,183. Last week’s hammer candlestick signals strong buying pressure, reinforcing the likelihood of a trend shift.
Technical Analysis
Key Support & Market Structure Shift:
Price previously tested the 6,183 support level, where buyers stepped in.
A Change of Character (CHoCH) occurred around 7,330, indicating a shift in momentum.
The market formed a lower high near the 6,183 level, suggesting that sellers are losing control.
Trendline Breakout Expectation:
Price is currently trading below a bearish trendline.
A breakout above this trendline would confirm a bullish continuation.
If price holds above 7,330, further upside momentum is expected.
Confirmation & Target:
Last week's hammer candlestick provides additional confirmation for a bullish bias.
Targeting 8,456, aligning with previous structural highs and liquidity zones.
Trade Plan
Entry: On a confirmed breakout of the bearish trendline.
Stop Loss: Below recent swing low for risk management.
Target: 8,456 (next key resistance).
JPY Bias: Strong buy signal; expect JPY strength across pairs where it is the quote currency.
Conclusion
The JPY Basket is positioned for a bullish breakout, supported by a key support bounce, CHoCH, and trendline dynamics. With last week's hammer candlestick as added confirmation, we anticipate JPY strength moving forward.
🚀 JPY BUY BIAS: Expect Weakness in JPY-quoted Pairs! 🚀
