Technical Update - USDJPY ripe for a correction. Break out of rising wedge is imminent
Kim Cramer Larsson
Technical Analyst, Saxo Bank
USDJPY is still trading in this rising wedge pattern but is ripe for a correction. Break out of the wedge could be imminent. The divergence on RSI indicates the break out to be downwards. If that occurs USDJPY is likely to drop to the 0.682 retracement and support at around 134.26 but could drop to the kye support around 131.50.
If USDJPY breaks above 139.40 and above the upper rising trend line this wedge correction scenario is demolished.
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