JPY/USD – Price Rejection at Supply Zones Signals Potential Bearish Continuation
JPY/USD on the H1 timeframe is showing a clear reaction from supply zones, with price unable to break above short-term resistance. The market structure remains fragile, and buyers are losing momentum as price approaches major rejection levels. This setup opens the possibility for a continuation toward the lower support area.
1. Market Context
After a brief correction, price attempted to retest the previous supply zone but failed to break above it. The rejection confirms that sellers are still defending higher levels.
Short-term higher lows are forming, but momentum remains weak and inconsistent.
The key zone to watch is the base support, where price has reversed multiple times.
2. Key Technical Zones
Supply Zones
0.006490 – 0.006500: Local supply zone where the market recently rejected.
0.006505 – 0.006515: Major supply zone, strong bearish reaction previously.
These levels will continue to act as barriers unless price breaks above with strong volume.
Demand Zone
0.006445 – 0.006455: Strong historical demand. Price has bounced from this zone multiple times, making it the key downside target.
3. Technical Structure
The descending pattern near resistance reflects weakening buying pressure.
DEMA (9) is flattening, showing a loss of upside momentum.
Market structure suggests a corrective push higher before a deeper drop, matching the projected movement on your chart.
4. Trading Scenarios
Primary Scenario: Bearish Continuation
Expect price to retrace back toward 0.006490 – 0.006500.
If the supply zone holds, bearish pressure may resume.
Downside target: 0.006445 – 0.006455.
This aligns with current rejection behavior and unbroken lower-timeframe structure.
Alternative Scenario: Bullish Breakout
Only valid if price closes above 0.006515 with strong momentum.
This would invalidate the bearish setup and open the way toward new highs.
5. Outlook Summary
JPY/USD remains biased to the downside unless buyers successfully break through the major supply level. The current structure suggests a corrective move up followed by a potential continuation downward toward the key demand area. Traders should monitor reactions at the supply zone for confirmation.
Follow to receive more structured strategies for the upcoming sessions.
JPY/USD on the H1 timeframe is showing a clear reaction from supply zones, with price unable to break above short-term resistance. The market structure remains fragile, and buyers are losing momentum as price approaches major rejection levels. This setup opens the possibility for a continuation toward the lower support area.
1. Market Context
After a brief correction, price attempted to retest the previous supply zone but failed to break above it. The rejection confirms that sellers are still defending higher levels.
Short-term higher lows are forming, but momentum remains weak and inconsistent.
The key zone to watch is the base support, where price has reversed multiple times.
2. Key Technical Zones
Supply Zones
0.006490 – 0.006500: Local supply zone where the market recently rejected.
0.006505 – 0.006515: Major supply zone, strong bearish reaction previously.
These levels will continue to act as barriers unless price breaks above with strong volume.
Demand Zone
0.006445 – 0.006455: Strong historical demand. Price has bounced from this zone multiple times, making it the key downside target.
3. Technical Structure
The descending pattern near resistance reflects weakening buying pressure.
DEMA (9) is flattening, showing a loss of upside momentum.
Market structure suggests a corrective push higher before a deeper drop, matching the projected movement on your chart.
4. Trading Scenarios
Primary Scenario: Bearish Continuation
Expect price to retrace back toward 0.006490 – 0.006500.
If the supply zone holds, bearish pressure may resume.
Downside target: 0.006445 – 0.006455.
This aligns with current rejection behavior and unbroken lower-timeframe structure.
Alternative Scenario: Bullish Breakout
Only valid if price closes above 0.006515 with strong momentum.
This would invalidate the bearish setup and open the way toward new highs.
5. Outlook Summary
JPY/USD remains biased to the downside unless buyers successfully break through the major supply level. The current structure suggests a corrective move up followed by a potential continuation downward toward the key demand area. Traders should monitor reactions at the supply zone for confirmation.
Follow to receive more structured strategies for the upcoming sessions.
🪙 JOIN OUR FREE TELEGRAM GROUP 🪙
t.me/dnaprofits
Join the community group to get support and share knowledge!
️🥇 Exchange and learn market knowledge
️🥇 Support free trading signals
t.me/dnaprofits
Join the community group to get support and share knowledge!
️🥇 Exchange and learn market knowledge
️🥇 Support free trading signals
Clause de non-responsabilité
Les informations et publications ne sont pas destinées à être, et ne constituent pas, des conseils ou recommandations financiers, d'investissement, de trading ou autres fournis ou approuvés par TradingView. Pour en savoir plus, consultez les Conditions d'utilisation.
🪙 JOIN OUR FREE TELEGRAM GROUP 🪙
t.me/dnaprofits
Join the community group to get support and share knowledge!
️🥇 Exchange and learn market knowledge
️🥇 Support free trading signals
t.me/dnaprofits
Join the community group to get support and share knowledge!
️🥇 Exchange and learn market knowledge
️🥇 Support free trading signals
Clause de non-responsabilité
Les informations et publications ne sont pas destinées à être, et ne constituent pas, des conseils ou recommandations financiers, d'investissement, de trading ou autres fournis ou approuvés par TradingView. Pour en savoir plus, consultez les Conditions d'utilisation.