USDJPY: Pending H&S Pattern Offers a Huge Sell Opportunity

Looking at the daily chart of USDJPY I am pretty confident that price has reached a key resistance level and selling is our best option. Based on structure and how it is developed at the moment we may see that we have a pending H&S pattern waiting for the right shoulder to complete. Switching to the lower timeframes we may see that price has dropped in an impulsive way and is now in a consolidation. Selling the end of this correction and you may be in a long-term trade where you will just see if we get the completion to the head and shoulders pattern and in case it works out and have a drop of price you will be in a sell from the highest level possible

Watch for a sell setup at the sliding parallel of the median line as shown below: