USD/JPY – 2H – SELL
SELL
97%
▲ Bullish 3% (1.72)
▼ Bearish 97% (50.10)
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Signal evolution
Events for USD/JPY
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All times UTC.
Signals Fired
| Signals Fired | Category | Weight | |
|---|---|---|---|
| ▲ | Ascending Triangle | chart_pattern | 4.07 |
| ▼ | BBANDS UPPER Retreat Down | indicator | 2.06 |
| ▼ | Fibonacci Break DownTrend (24%) | fibonacci | 1.99 |
| ▼ | STOCHF KD Cross Down | indicator | 1.76 |
| ▼ | Trendline Break Down | trendline | 1.73 |
| ▼ | SMA 200 Retreat Down | indicator | 1.59 |
| ▼ | BOP Zero Cross Down | indicator | 1.47 |
| ▼ | Tweezers Top | candlestick | 1.28 |
| ▼ | Bearish Engulfing | candlestick | 1.05 |
Trend Context
15MDOWNTrend forming
30MUPTrend forming
1HUPTrend forming
2HUPTrend forming
4HDOWNTrend forming
8HDOWNSolid trend
12HDOWNSolid trend
1DDOWNSolid trend
Analysis
🎯 Key Takeaways
- A powerful bearish signal cluster on the 2H chart, including a trendline break and bearish engulfing, points to downward momentum.
- The 24% Fibonacci retracement level is being targeted, but the mixed lower timeframe trends may cause volatility.
- Watch the nearest support at 158.598; a break below could accelerate selling, while resistance at 163.904 is the key invalidation zone.
- Overall, the higher timeframes (4H and above) are bearish, supporting the sell signal, but the 1H and 2H are still bullish, so caution is advised.
The 2H USD/JPY chart has fired a cluster of bearish signals, including a Trendline Break Down, Ascending Triangle breakdown, Bearish Engulfing, and multiple indicator confirmations (BOP Zero Cross Down, STOCHF KD Cross Down, BBANDS UPPER Retreat Down, SMA 200 Retreat Down). These signals collectively indicate a shift from bullish consolidation to bearish momentum, with the Fibonacci Break Down Trend (24%) suggesting a retracement of the prior up move. The confluence of pattern, trendline, and candlestick signals strengthens the bearish case.
However, the higher timeframe trend is mixed: while 4H, 8H, 12H, and 1D are bearish, the 15M to 2H timeframes are still bullish (trend forming). This suggests that the immediate trend may be rolling over, but the lack of alignment on lower timeframes could lead to choppy price action. Key levels to watch are resistance at 163.904 and support at 158.598. A break below the support would confirm the bearish momentum, while a reclaim of resistance would invalidate the signal.
However, the higher timeframe trend is mixed: while 4H, 8H, 12H, and 1D are bearish, the 15M to 2H timeframes are still bullish (trend forming). This suggests that the immediate trend may be rolling over, but the lack of alignment on lower timeframes could lead to choppy price action. Key levels to watch are resistance at 163.904 and support at 158.598. A break below the support would confirm the bearish momentum, while a reclaim of resistance would invalidate the signal.
Catalysts
- ▼ Multiple signal groups (trendline, candlestick, indicator, fibonacci, chart_pattern) are all aligned bearish.
- ▼ Higher timeframes (4H, 8H, 12H, 1D) are in solid bearish trends, providing a supportive backdrop.
- ▼ The Fibonacci Break Down Trend (24%) indicates a potential retracement target that aligns with the bearish setup.
- ▼ The bearish engulfing candlestick adds a strong reversal signal at a potential key level.
Risk Factors
- ▲ The 15M to 2H timeframes are still bullish, which could lead to a bounce or false breakdown.
- ▲ If price reclaims the resistance at 163.904, the bearish signal would be invalidated.
- ▲ Momentum indicators may be overextended, leading to a pullback or consolidation before further downside.
- ▲ The nearest support at 158.598 is a significant level; a bounce there could stall the decline.
Symbol
USD/JPY
Timeframe
2H
Direction
SELL
Probability
97%
Strength
VERY STRONG
Date
2026-08-18 10:00
cat_ Forex
Forex
Support & Resistance
| Level | Price | Formed |
|---|---|---|
| R1 | 163.90400 | 2026-07-29 |
| S1 | 158.59800 | 2026-08-14 |
| S2 | 158.58100 | 2026-08-12 |
| S3 | 156.67200 | 2026-08-07 |
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