USD/JPY Price Reaction at 4H Order Block Suggests Potential Sell

The USD/JPY pair has recently reached a 4H Order Block and reacted accordingly, but the most recent minor wave is still an upward movement. To confirm a potential sell entry, we need to wait for a reversal break.

Here's a breakdown of the situation:

4H Order Block: This is a significant area of previous buying or selling pressure, and the price reaction suggests its relevance.
Minor Upward Wave: Despite the reaction at the Order Block, the immediate price action shows a small upward movement. This could be a retracement or a continuation of the previous trend.
Reversal Break: To confirm a sell setup, we need to see a clear break below the Order Block or a significant bearish reversal pattern (like a double top or head and shoulders).
Trading Strategy:

Wait for Confirmation: Avoid entering a sell position prematurely. Wait for a confirmed reversal break below the Order Block or a strong bearish signal.
Set Entry: Once the reversal is confirmed, consider entering a sell position with appropriate risk management (stop-loss and take-profit levels).
Monitor Price Action: Keep a close eye on the price action for any signs of a trend change or reversal.
Additional Considerations:

Technical Indicators: Use additional technical indicators (RSI, MACD, etc.) to confirm the bearish bias and increase the probability of a successful trade.
Fundamental Analysis: Stay updated on fundamental news and economic data that could impact the USD/JPY pair.
Risk Management: Always prioritize risk management and avoid risking more than you can afford to lose.
Disclaimer: This analysis is for informational purposes only and should not be considered financial advice. Always conduct your own research and consult with a financial professional before making any trading decisions.