The pair has been moving towards lower highs and lower lows over past few days. In the four-hour chart, the pair fell and closed below the big consolidation pattern. The pair closed and was trading below 20Dsma 123.20. The double top was formed at 124.45. These were few bearish factors behind that.
The 20Wsma is found at 121.20 and 50Dsma at 122.20. At yesterday's session, the pair managed to close above 50Dsma. These are bullish factors.
Ahead of the FOMC meeting minutes release, USD is trading lower against JPY.
In the H1 and H4 charts, the price is trading below hourly moving averages.
Intraday resistance is seen at 122.85, 122.95, and 123.20. Intraday support is found at 122.60, 122.30, and 122.00. Until the pair closes below 123.20, bearish view remains in play. We recommend fresh buying only after the FOMC meeting minutes release.
If risky traders wish to start buying, it will be available above 123.30 with targets at 123.45, 123.60, and 123.90. Strong bullish momentum is expected above 124.00 towards the previous double top at 124.45.