USD/CHF may test lower levels this week as long as it keeps trading below the resistance at 1.01.
USD/JPY: yen is preparing a wedge
Recommendation: SELL 109.8 SL 110.35 TP1 108.8 TP2 108 TP3 107.2
On the daily chart of USD/JPY, the inability of bulls to conquer resistance at 111 points at their weakness. Bears have the initiative now. Sellers want to test the lower border of the uptrend channel and support at 109.8. If they succeed, the risks of a “bat” pattern will increase.
On H1 of USD/JPY, bears have a chance to trigger the “Widening wedge” pattern. To do that, they will need to pull the pair below the lower border of an uptrend channel and move it closer to support at 109.40.
The pair is greatly influenced by the constant changes in global risk sentiment as well as the policy of the central banks.
USD/JPY formed a big bearish candlestick yesterday that almost engulfed the previous bullish one.
The market is likely going to continue declining. The main intraday target is the next support at 1.1526 - 1.1508...
Bullish Ichimoku Cloud with horizontal Senkou Span A and B; a golden cross of Tenkan-sen and Kijun-sen with horizontal lines; the market is under strong resistance and prices entered into the channel Tenkan-Kijun.
AUD/CAD falling inside impulse waves 3 and (C) Next sell target - 0…