USD/JPY 1H Chart: Rectangle

The pattern started when the pair rebounded from 79.956 and slowed down at 78.464, where the pair is currently trading. Pattern's resistance band is at 78.731; pattern's support band is at 77.935. Technical indicators on aggregate point and further appreciation of the pair on 1H time horizon indicating that the current pattern might be evolving to upward sloping, Channel or Wedge, pattern. The SWFX market sentiment shows that 55% of the traders expect appreciation of the pair as well. Long traders could set the first target at the daily pivot at 78.527. If this level is breached, next targets could be at the pattern's resistance at 78.731 and the daily pivot at 78.837.

Technical indicators on aggregate point at depreciation of the pair on 4H outlook indicating that the pair might continue to trade in between pattern's upper and lower limits. Short traders should focus on SMA200 at 78.289. If this level is breached, next targets could be at the 6th of August low at 78.149, daily pivot at 78.028 and pattern's support at 77.935.