Last week on the USD/JPY we finally ended a technical pattern, which was present on the charts since the 2013. Breakout from this formation is in the same time an ultimate trading opportunity, which should be profitable for the next weeks or even months and can bring us thousands of pips.
This trading opportunity is buying USD/JPY and signal is still fresh as it was created by the W1 candlestick from the last week. That candle is a bullish marubozu, which breaks the upper line of the symmetric triangle pattern (black). As we said, symmetric triangle was here since the 2013 and inside of this formation, the volatility was dropping and each swing was smaller and smaller. On Wednesday, buyers finally took the control over and pushed the price higher, breaking also a horizontal resistance on the 111.1 (green). As for now, the buy signal is on and the first potential target is on the 114.5 (blue).
In the shorter-term we can experience a small bearish correction. It is very common to test the broken resistance as the closest support. In this way, in the next few days, we should see a decline, contact with the green area and a bounce. Stay sharp as any bullish pattern on the green zone will be an ultimate buy signal.
