A strong bullish momentum is evident in the USD/JPY 4 hour chart. Prices were respecting the bullish reversal (Wedge) and continuation (Upward flag) patterns recently established, as seen by the breakouts that occurred at the end of each pattern. Additionally, 12 EMA has crossed the 36 EMA, signifying the beginning of an uptrend.
Trade: If possible, wait for a pullback to the 12 EMA before entering trade. Fibonacci extension ratio of 1.618 shows T/P level at 109.016, a good conservative target that falls slightly below the next resistance level @ 109.241.
Trade: If possible, wait for a pullback to the 12 EMA before entering trade. Fibonacci extension ratio of 1.618 shows T/P level at 109.016, a good conservative target that falls slightly below the next resistance level @ 109.241.