USDJPY Reverses from 160.50 Support—Eyes 163.00 Resistance

USDJPY currency pair recently reversed from a support zone between the key level of 160.50 and the 38.2% Fibonacci correction of the upward impulse from the start of May. The support level 160.50 previously acted as strong resistance that stopped the minor impulse wave i at the end of April. The upward reversal from this support zone is forming a Morning Star candlestick pattern. The reversal occurs amid a clear daily uptrend and bullish US dollar sentiment across FX markets.

USDJPY Reverses from 160.50 Support Zone

The currency pair reversed from a support area located between the key support level 160.50 and the 38.2% Fibonacci correction of the upward impulse from the start of May. The 160.50 level is a former strong resistance which stopped the previous minor impulse wave i at the end of April, as shown on the daily USDJPY chart. The upward reversal from this support zone is forming the daily Japanese candlestick reversal pattern Morning Star.

Resistance Target at 163.00 Based on June Price Action

The next resistance level is 163.00, which stopped an earlier impulse wave at the end of June. The daily chart shows a clear uptrend pattern. Bullish US dollar sentiment is present across FX markets.

FAQ

What technical pattern is USDJPY forming after the reversal from 160.50?

The upward reversal from the support zone between 160.50 and the 38.2% Fibonacci correction is forming a Morning Star candlestick pattern on the daily chart.

What is the next resistance level for USDJPY after reversing from support?

The next resistance level is 163.00, which previously stopped an earlier impulse wave at the end of June.

Why is 160.50 significant as a support level for USDJPY?

The 160.50 level is a former strong resistance that stopped the previous minor impulse wave i at the end of April, making it a key support zone after the role reversal.