Trade of the Day: USD/JPY
By: Dima Chernovolov
USD/JPY continues to rise inside the hourly Rising Wedge chart pattern, which was recently identified by Autochartist. Autochartist rates the quality of this Rising Wedge at the 4-bar level – which is the result of the low Initial Trend and Uniformity (1 and 2 bar respectively) and higher Clarity (8 bars). USD/JPY is expected to rise further inside this Rising Wedge .
As can be seen from the daily USD/JPY chart below – the price earlier broke through the key resistance level 135.5 (which stopped the previous impulse at the start of June). This price level is acting as the support level after it was broken. The proximity of this support level and the strong daily uptrend add to the probability USD/JPY will continue to rise inside this Rising Wedge.