Greetings everyone. Has USDJPY made a major top at 113? I believe so. I expect over the coming weeks and months USDJPY to eventually move towards the lower triangle boundary between 103 and 105. I believe this rejection at 113 confirms that the USDJPY will continue trading inside the long-term triangle pattern. Next short-term support is at 110.50 and if broken I expect to see 109 fast.
In the weekly chart the Stochastic oscillator is turning lower from overbought levels. Such behavior in the past has been accompanied by a downward trend. I believe this will be the case again and we will see USDJPY below 105. Concluding I’m bearish as long as we trade below 113 with 105-103 as my target area.
Thank you for taking the time to catch up on my thinking.