USD / JPY: The 100-point level for determining the trend

Since the beginning of August, the USD / JPY rally makes a correction. The course is being traced all the last bearish movement occurred after the end of July release of its symmetrical triangle (dotted black line in h4). However, the pair will soon face a very high level of resistance. The course is in effect in a great medium term bearish channel (purple dotted lines) the upper limit of which gravitates towards 100 points. This level also corresponds to the upward slant of the old triangle.

For the moment, we are neutral between 99 and 100 points. We advise to wait an exit of this range to take position:

- Long (buy) if broken 100. This would mark the return of the uptrend on the pair. 100.80 would be the first goal.

- Short (sell) if returned within 99 points. A gradual return to the lower would be expected to last. Initially, the course should cross the 98.23 support.

ps: Traders with a more aggressive strategy can treat the pair according to 99 points (along the top, short below)

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