- USD/JPY is trading 0.01% lower on Friday.
- The pair has consolidated in a very narrow 67 pip range.
USD/JPY 4-hour chart
USD/JPY has traded in a very thin range on Friday as volumes remain light to a US holiday. Looking at the chart below it is clear to see the pair is stuck in a rut as it nestles within a 67 pip range.
Just looking at the price waves the pair has made consecutive higher low and higher high waves. This could lead to a higher probability of the top of the range to be tested. The 108.00 figure could be a significant resistance zone as it has been rejected a few times in the past. On the downside, the 106.00 level seems to be the main support zone, so if the price does break the bottom of the consolidation that could be the target.
Looking at the Fibonacci Retracement levels it seems that the 50% zone was pretty firm. Interestingly higher up the 261.8% extension level matches up very well with the 61.8% retracement zone and if there is a break higher it would be one to watch.