USD/JPY) Bullish trend analysis Read The caption

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SMC Trading point update



Technical analysis of USD/JPY on the 4-hour timeframe, using a combination of trendline support, key horizontal levels, and EMA 200 confluence to identify a potential bounce.


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Technical Breakdown:

1. Market Structure:

USD/JPY experienced a sharp decline from the resistance zone near 150.445, but price is now testing a strong confluence support area:

Horizontal support zone

Rising trendline

200 EMA (146.907)




2. Support Confluence Zone:

Marked as "trend support level", this zone has historically acted as a springboard for bullish moves.

Recent price action shows a wick rejection at this zone, indicating buying pressure.



3. Resistance/Target Zones:

Target 1: 149.190 – 149.208

Target 2: 150.445 (major resistance zone)



4. EMA 200:

Price is reacting just above the 200 EMA, strengthening the bullish case for a bounce.



5. RSI (14):

RSI has dipped to 35.92, near oversold territory, suggesting the downside may be exhausted.

Prior bounce from similar RSI levels led to strong upward moves.



6. Projected Path:

The chart outlines a potential bullish recovery, targeting a climb back into the upper channel and retesting previous highs.



Mr SMC Trading point

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Trade Idea Summary:

Bias: Bullish (Reversal from trendline + support zone)

Entry Zone: Current level near 147.40–146.90 (support confluence)

Targets:

TP1: 149.190

TP2: 150.445


Invalidation: Daily close below trendline and 200 EMA (~146.70 or lower)

Indicators: RSI supports a bounce; EMA and trendline confirm structure



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