USD/JPY is under pressure. The pair is capped by a bearish trend line since Oct. 3, which confirmed a negative outlook. The bearish cross between 20-period (30-minute period) and 50-period moving averages has been identified. The relative strength index lacks upward momentum.
To conclude, as long as 112.95 is not surpassed, look for a return to 112.30 and even to 112.05 in extension.
Alternatively, if the price moves in the opposite direction, a long position is recommended above 112.95 with a target at 113.20.
Chart Explanation: The black line shows the pivot point. The current price above the pivot point indicates a bullish position, while the price below the pivot point is a signal for a short position. The red lines show the support levels and the green line indicates the resistance level. These levels can be used to enter and exit trades.
Strategy: SELL, Stop Loss: 112.95, Take Profit: 112.30
Resistance levels: 113.20, 113.50 and 113.75 Support Levels: 112.30, 112.05, 111.75