USDJPY – Supply Reaction Confirmed, Structure Is ShiftingIn the previous analysis, price was expected to react around the 157.270 – 157.758 supply zone, and that reaction played out as anticipated.
After two days, the market has now formed a CHOCH (Change of Character) on the 1H timeframe, signaling a potential shift in short-term structure.
At the moment, price is trading inside a key supply area:
156.785 – 157.000
From this zone, I expect price to resume its corrective move, and this time, approach the newly formed trendline and break it, allowing the bearish leg to extend further.
Under this scenario, the minimum downside objective stands around 156.200.
If bearish confirmation remains valid, continuation toward the 156.000 area also becomes achievable.
At this stage, the market has already delivered the required structural signal.
From here, price behavior around this supply zone and the trendline will define the next phase.
`Pouryabdi
