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USD/JPY has been moving higher amid reports that the US and China may agree on a currency pact and delay new tariffs. Can it continue higher? Technicals look promising.  

The  Technical Confluences Indicator  is showing that USD/JPY enjoys robust support at 107.46, which is a dense cluster of lines including the Bollinger Band one-hour Middle, the Fibonacci 38.2% one-month, the Simple Moving Average 10-one-day, the SMA 200-1h, the Fibonacci 38.2% one-day, the SMA 10-1h, and the SMA 5-4h.  

Looking up, weak resistance awaits at 107.63, which is the convergence of the BB 4h-Upper, the SMA 100-one-day, the previous daily high,  

Higher, the upside target is 108.47, which is where the Pivot Point one-day Resistance 3 and the previous monthly high converge.  

Below 107.46, the next support line is at 106.95, which is is the confluence of the previous daily low and the Fibonacci 23.6% one-week.

Here is how it looks on the tool:

USD JPY confluence analysis October 10  2019


Confluence Detector

The Confluence Detector finds  exciting opportunities using Technical Confluences.  The TC is a tool to locate and point out those price levels where there is a  congestion of indicators,  moving averages, Fibonacci levels, Pivot Points, etc. Knowing where these congestion points are located is very useful for the trader, and can be used as a basis for different strategies.

This tool assigns a certain amount of “weight” to each indicator, and this “weight” can influence  adjacents  price levels. These weightings mean that one price level without any indicator or moving average but under the influence of two “strongly weighted” levels accumulate more resistance than their neighbors. In these cases, the tool signals resistance in apparently empty areas.

Learn more about Technical Confluence