USD/JPY - H1 chart technical analysis (23/9/2025)Japanese Yen/US DollarSAXO:JPYUSDHenrybillion1. Current Trend The chart is on a 1-hour timeframe (H1) and shows sideways consolidation within a rectangle (boxed area) after a prior downtrend. Price is currently pulling back slightly after reaching point A, setting up for a potential ABC upward move. 2. Technical Pattern This chart displays a potential ABC correction / impulse wave within the consolidation zone: A → B: a small corrective pullback after a minor rally. B → C: anticipated upward move toward the upper boundary of the rectangle (~0.00684), completing wave C. The rectangle indicates range-bound trading, meaning buyers and sellers are balanced but the ABC pattern suggests a bullish bias in the short term. 3. Key Support and Resistance Levels Support: ~0.006745–0.006750: previous swing lows and rectangle base (point B). 0.006720: the lowest point of the current range. Resistance: ~0.006830–0.006840: upper boundary of the rectangle (point C target). 0.006860: minor psychological level above the rectangle. 4. Trading Strategy Buy near point B pullback: Entry: ~0.006745–0.006750. Stop loss: below 0.006730 to avoid a false breakdown. Take profit: ~0.006830–0.006840 (upper rectangle boundary, wave C target). Confirmation signals: Watch for bullish candlestick patterns at support. Ensure momentum indicators (e.g., RSI H1) are not overbought. Risk: If price breaks below 0.006730, the bullish ABC scenario may fail, indicating a possible retest of lower support levels. 5. Summary USD/JPY is range-bound but forming a short-term ABC upward move. Point B provides a potential buying opportunity, with wave C targeting the upper rectangle boundary at ~0.00684. Traders should combine price action at support, ABC pattern, and momentum indicators to increase probability of a successful trade.