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The USD/JPY broke above the previous 2018 highs at 113.43 and hit a new peak of 113.64 before consolidating its gains. What’s next?

The  Technical Confluences Indicator  shows that the pair still needs to make a convincing move above  113.43  where we see the convergence of the Bollinger Band 4h-Upper, the Simple Moving Average 5-15m, the BB one-day Upper, the Pivot Point one-month Resistance 2, and the BB 15m-Lower.

113.68  is the next hurdle where we see the meeting point of the 1h-high, the 4h-high, and the Fibonacci 161.8% one-month.

The next target is already at the much higher ground:  114.70. This is the confluence of the 52-week high, the PP one-day R3, and the PP one-month R3.

Looking down, support awaits at  113.15  where we see the Fibonacci 38.2% one-day, the SMA 200-15m, and the PP one-week Resistance 1 converge.

The next support line is  112.63  which is the congestion of the Fibonacci 23.6% one-week, the SMA 10-one-day, the one-day low, and the BB 4h-Lower.

Here is how it looks on the tool:

Dollar yen technical confluence September 28 2018

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