USDJPY continues to consolidate back into an ascending channel , the short term correction looks healthy for now, the uptrend remains in place, awaiting a break.
Levels represent some close levels, mainly on the weeklies. Picked out many more levels but adjusted and removed many afterwards to identify the main areas the current price action is paying attention...
USDJPY looks very bullish, unfortunately did not hold above my long term downtrend break, looking for a bounce off horizontal support to then get back above the long term downtrend and back on the march North again.
GBPJPY bounce off the previous weekly low horizontal support as well as uptrend channel. The entry was London 14.04.21, which put in the higher high after short term downtrend trend breakout, admittadelly closed below previous 8hr and since consolidated, appears to be in a bullish flag formation but holding above the long term uptrend ...
The DXY is trading back into its bear flag channel since catching a surge on a failed breakdown. The previous higher swing low could yet give a bid from almost the centre of the channel. See below for an 8hr, as the DXY gave a great breakdown, retest and lower leg candle off the upper bear flag line turned resistance.
With stimulus and money flowing it is easy to understand why we are where we are, but the many VERY large uncertainties make this a bit hard to read right now, the best thing for the market would be sideways so i don't see much risk to reward available right now. A correction might change me from neutral.
Firmly in the no trade zone, Yes a H&S broke but it looks like it could get choppy from here if the inner wedge holds support. Choose carefully the USD pair to play.
If it breaks out to the upside, i would be looking for it to flip some horizontal resistance around 92.5 in addition to the wedge breakout to go bullish.