Point and figure charts are relatively new to me but appear to be the next step in understanding supply and demand levels. For those who do not follow point and figure charts Im using a 30 pip box size with a 2 box reversal meaning that for price to reverse it would have to climb by 60 pips to print a new column of Xs. For price to stay on present course of...
Price appears to be trading sideways - swing lows are still rising. To start a shift to moving down price will need to start crossing below the structures that supported price running up. Price is still moving up while the swing lows hold. Supply in play and demand below for target
All that we can say about UsdJpy is it is sitting in the origin of the last leg up. For price to move higher we need to see a succession of higher lows and higher highs on smaller timeframes. The resists tell us where the sell orders pushed price down, so the first challenge will lie in the nearest resist - if it crosses then we can most likely anticipate the rest...
Price is sitting in a bullish structure that may be nothing and price continues to drop here. However if it sends price higher we have the last swing high to hold price plus the untested structure at the top that price dropped from. Price presently is a short while the last swing high remains unbroken.
AudUsd is at Supply with very little room above to go before it makes a higher high. The swing lows going up are uncrossed so we anticipate this will be a retrace only. If the last swing low is crossed at the bottom of the retrace then it will set price into a new trend.