USD/JPY (a 4-hour chart)
The Forex traders were disappointed with the low volatility at the market which was started earlier this year. Obviously, there was a self-replicating cycle whereby the pulse absence prevents the new trading
range formation that makes many traders to stay away from the market which weakens the impulse. The last month maximum 102.79 update led to the short-term consolidation above the strong support level of 102.70. Inverse retest level was followed with the lower volumes and in the longer term may serve as a signal for future price growth. Nevertheless, the pair decreased below the level of 102.70.
The price is finding the first support at 102.23, the next one is at 101.60. The price is finding the first resistance at 102.70, the next one is at 103.00.
There is a confirmed and a strong buy signal. The price is above the Cloud and it is above the Chinkou Span. The Tenkan-sen shows a downward movement and the Kijun-sen shows a horizontal movement. The upward movement will be until the price is above the Cloud.
The MACD indicator is in a positive territory. The price is correcting.
The upward bounce potential target is 103.80-104.00.