IndustryIdentifying major highs and lows in USD/JPY

#CurrencyPairPrediction Identifying Major Highs and Lows in USD/JPY: Major highs and lows in the USD/JPY currency pair represent key turning points where price reverses its direction. Traders identify them by: Price Action: Looking for strong rejection patterns (e.g., pin bars, engulfing candles) near historical levels. Support and Resistance: Recognizing areas where price has reversed multiple times in the past. Technical Indicators: Using tools like Moving Averages, RSI divergence, and Fibonacci retracement to spot overextended moves. Higher Timeframes: Analyzing daily, weekly, or monthly charts to filter out minor fluctuations and focus on significant swings. Volume and Market Context: Watching trading volume and fundamental factors (like Bank of Japan or Federal Reserve policies) that often drive major shifts. Confirming highs and lows helps in setting better entries, exits, and risk management in trading strategies.

pooja2839

2025-04-29 02:15

IndustryWhy Fibonacci works well with USD/JPY

#CurrencyPairPrediction Why Fibonacci Works Well with USD/JPY: Fibonacci retracement and extension levels tend to work particularly well with USD/JPY because this currency pair often exhibits clear, technical, and psychologically driven price movements. USD/JPY is one of the most liquid forex pairs, dominated by large institutional traders who heavily use technical analysis, including Fibonacci tools, to set key levels for entries, exits, and stop-losses. The pair also has a tendency to trend strongly or consolidate in well-defined ranges, both of which make Fibonacci levels more effective in predicting retracements and extensions. Furthermore, market participants' collective attention to these levels often causes self-fulfilling reactions around Fibonacci zones.

shai845

2025-04-29 02:06

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