CHFJPY Breaks Below Key 140.08 Lows
In a sudden reversal, the Japanese yen is strengthening against all major currency pairs. While I've noticed a breakout structure on several pairs, the CHFJPY breakout appears to be the strongest. This is due to a couple of reasons.
1. CHFJPY has been in a strong rally since May of 2022. There's no such thing as a sustainable, exponential rally like this. As a result, what goes up must come down.
2. 140.08 is a key level for us to watch. This was a support area that price has previously held. Now that price is breaching below it, this is an indication that buyers aren't able to hold price supported. What comes next will likely be a free fall.
1. CHFJPY has been in a strong rally since May of 2022. There's no such thing as a sustainable, exponential rally like this. As a result, what goes up must come down.
2. 140.08 is a key level for us to watch. This was a support area that price has previously held. Now that price is breaching below it, this is an indication that buyers aren't able to hold price supported. What comes next will likely be a free fall.
