The USDJPY could be forming a short term move into the 139.00 handle.
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The USDJPY price could range this week as the market eyes up a significant amount of data releases of high importance. These types of trading weeks could favor both the currencies from a risk profile outlook. The USD will be more likely to be the mover of the two currencies as a lot of the red folder data is out of the US. This includes CPI data and a rate announcement. Currently the USD is strengthening and the JPY has begun to weaken, which if continued could see the USDJPY price test resistance.
In this case the price on the h4 chart is showing a breakout of a small bullish flag pattern which can often see the price trade higher. For this pattern to complete the price will need to reach the length of the impulsive move before forming the pattern. If you were to measure the move and copy it up we can see that the price could ove above the 139.00 level. This could offer short term long ideas if the price were to pull back to previous levels of support.
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