USD/JPY Market Analysis

USD/JPY Market Analysis

On the 30-minute timeframe (M30), the chart reveals key price structures indicating potential Buy and Sell opportunities. Below is the detailed analysis:

Buy Entry Zone:
This zone is identified around the support area at 149.500 to 149.384. A potential reversal from this level provides a buying opportunity, targeting levels above 150.500.

Sell Entry Zone:
The resistance area between 150.341 and 150.790 offers a potential short-sell opportunity. Previous rejection from this zone highlights significant bearish pressure.

Price Action Patterns:

The market shows a mix of Higher Highs (HH) and Lower Lows (LL), indicating a consolidation phase that may lead to a significant move.
The Internal Daily Move (IDM) pattern highlights the tug-of-war between buyers and sellers within smaller timeframes.
Trading Plan:

Buy Setup: Wait for the price to approach the Buy Entry Zone and confirm with bullish signals (e.g., candlestick patterns or increasing volume) before entering a position.
Sell Setup: If the price moves toward the Sell Entry Zone, consider short-selling opportunities with a target around 149.500.
Supporting Factors:

The DEMA indicators (30, 50, 80, and 100) suggest short-term trend direction, with a potential trend reversal if a strong breakout occurs.
Upcoming fundamental data releases, such as economic news from the U.S. and Japan on December 12, could introduce significant volatility.
Conclusion:
The market is currently in a consolidation phase, offering opportunities for both buy and sell trades depending on price movements toward the identified zones. It is essential to implement strict risk management strategies for every position taken.