USDJPY Wave Analysis 22 December, 2020

• USDJPY reversed from support level 103.20

• Likely to rise to resistance level 104.60

USDJPY recently reversed up from the powerful support level 103.20 (which stopped the previous sharp downtrend with the daily Morning Star at the start of November).

The support area near the support level 103.20 was strengthened by the lower daily Bollinger Band.

Given the strength of the support level 103.20 and the clear bullish divergence on the daily Stochastic indicator – USDJPY is expected to rise further toward the next resistance level 104.60 (which reversed previous minor waves a, c and ii).