UsdJpy- Is this correction over?

Recently, I mentioned that USD/JPY might decline from above the 150 mark to test the 147 support or even the crucial 145 level. However, let's not deceive ourselves— the trend for USD/JPY remains extremely bullish. Even if there's a correction of around 500 pips, it's merely a temporary setback, and, from a fundamental standpoint, nothing is changed to indicate a reversal.

Technically, as illustrated in the chart, the recent decline is confined within a falling wedge, a pattern that typically signals a resumption of an upward trend. As previously discussed, the 145 zone serves as a robust floor for the pair. In the event of a drop to that level, traders might consider buying with a risk-reward ratio of at least 1:5.

Alternatively, a daily close above 147.50-147.70 would indicate that the recent low of 146.20 is the bottom, and the pair could reverse direction without testing the significant support level.

In conclusion, from the perspective of a swing trader, the focus should be on identifying buying opportunities in the market.

Comment:

Usdjpy is trading in support zone

Trade active:

I usually don t trade intraday, but with usdjpy dropping 250 pips today directly in support zone, I will take a trade @ 144.80 (market) with 50 pips stop loss and 100 pips target.