USDJPY 1hour Analysis January 6th, 2021

Price has rejected off our key weekly level at 103.370 and respecting the 1h 200MA. We are currently at a key structure zone and have two scenarios at play.

Trade Scenario 1: Bearish - For us to go short we want to see price break through our structure zone of 103.00. We will then wait for a retrace and for 103.00 to flip as resistance. Enter on strong bearish setups

Trade Scenario 2: Bullish - For us to go long we are looking for price to find support at our structure level at 103.00. Forming a bit of double bottom on our supporting trendline. Enter on strong bullish engulfing here. First targeting the 1h 200MA around 103.300