The USD/JPY fell from our identified resistance zone on a 60 minute time frame. The resistance zone was given in our analysis on the third of March. The price has moved nearly 40 pips in profit when the stop loss or risk was only 12 pips. This is more than 3: 1 ratio when most of day traders are looking for 2:1 ratio. What do we mean by the ratio is that we are willing to lose one which in this case is our resistance zone (12 pips) while the profit that we are willing to accept is atleast two times or three times of that. So in our given analysis, the profit at the time of writing this article is nearly 35 pips.
The price is trading near the 50 day (shown in yellow) and the 100 day (shown in red) moving average and if the price breaks these two averages, the sentiment will become more bearish.
The RSI and the MACD indicators are trading in line with the price action which means that the price may continue its correction if it stays below the above two moving averages.