USD/JPY has breached the bottom of a bearish Broadening Formation price pattern and is falling toward the first downside target at 148.54, the 61.8% extrapolation of the height of the pattern extrapolated down.USD/JPY Daily Chart (Click on image to enlarge)Further bearishness could carry to the next target at 148.24, the September 2, key swing high.The (blue) Moving Average Convergence Divergence (MACD) momentum indicator is diverging away from its red signal line – a further bearish sign. The short-term trend has probably reversed from bullish to bearish after the breakdown. Given it is a principle of technical that trends have a tendency to extend, the odds now favor more weakness in the short-term. More By This Author:
USD/JPY Price Prediction: Breaks Out Of Price Pattern And Declines
