USD/JPY is rising towards a swing-high resistance and could potentially reverse off this level to drop lower.
Sell entry is at 155.69 which is a swing-high resistance that aligns with a 38.2% Fibonacci retracement.
Stop loss is at 157.00 which is a level that sits above the 61.8% Fibonacci retracement and an overlap resistance.
Take profit is at 153.26 which is a swing-low support that aligns close to the 50.0% Fibonacci retracement.
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The speaker(s) is neither an employee, agent nor representative of FXCM and is therefore acting independently. The opinions given are their own, constitute general market commentary, and do not constitute the opinion or advice of FXCM or any form of personal or investment advice. FXCM neither endorses nor guarantees offerings of third party speakers, nor is FXCM responsible for the content, veracity or opinions of third-party speakers, presenters or participants.,# USD/JPY Analysis: Potential Reversal Ahead
## Key Points
– **Current Price Movement**: The USD/JPY is approaching a swing-high resistance level, indicating a potential area for reversal.
– **Sell Entry Strategy**: A sell entry is proposed at **155.69**, which correlates with a **38.2% Fibonacci retracement**, marking it as a strategic point for entry.
– **Risk Management**: The stop loss is set at **157.00**, just above the **61.8% Fibonacci retracement** and an overlap resistance, safeguarding against significant losses.
– **Profit Target**: The take profit level is located at **153.26**, aligning with swing-low support and close to the **50.0% Fibonacci retracement**, establishing a clear exit strategy.
– **Investment Warning**: High-risk investment warnings are issued, advising that trading Forex/CFDs on margin involves significant risk and may not be suitable for every investor.
– **Statistics on Retail Trading**: Notably, **63% of retail investor accounts lose money** while trading CFDs with this particular provider, emphasizing the need for caution.
### Market Risk Consideration
Investors should fully understand the implications of trading in high-leverage environments like Forex/CFDs and prioritize risk management in their trading strategies. This market exhibits volatility that can result in rapid financial performance swings.
## Hot Take
The technical analysis indicating a possible reversal at the swing-high resistance level of USD/JPY offers a solid opportunity for traders looking to capitalize on market fluctuations. However, the high-risk nature of forex trading – especially with products like CFDs – necessitates diligent risk management practices. As the market landscape evolves, traders should remain vigilant and flexible, ready to adapt to changing market conditions while adhering to informed strategies.
Disclaimer. The opinions expressed by our writers are their own and do not represent the views of JustInvestNews . The financial and market information provided on JustInvestNews is intended for informational purposes only. JustInvestNews is not liable for any financial losses incurred while trading cryptocurrencies. Conduct your own research by contacting financial experts before making any investment decisions. We believe that all content is accurate as of the date of publication, but certain offers mentioned may no longer be available. Original article: https://www.tradingview.com/chart/USDJPY/P0IdpJId-USD-JPY-H4-Potential-bearish-reversal/
