USD/JPY – Price Rejected From Key Supply ZoneJAPANESE YEN / U.S. DOLLARFX_IDC:JPYUSDHenrybillionUSD/JPY – Price Rejected From Key Supply Zone, Bearish Pressure Builds on H1 USD/JPY is showing renewed downside momentum after rejecting a major supply zone on the H1 timeframe. The market has formed a clear lower-high structure, and sellers are defending the upper boundary aggressively. Price is now retesting the lower support area, signaling the possibility of a continuation to the downside. 1. Technical Overview Price action on H1 highlights: A strong rejection from the supply zone around 0.006505, marked by long upper wicks and immediate sell-offs. Repeated failure to break above the resistance area suggests a weakening bullish structure. Price is currently hovering near the support baseline around 0.006448, which has held multiple times in the past. Market sentiment leans bearish as long as price stays below the recent swing high. 2. Key Levels to Watch Resistance 0.006500 – 0.006510: Strong supply zone, confirmed by sharp rejections. 0.006470: Local resistance and potential retest zone if price attempts a short pullback. Support 0.006448: Major support and the current downside target. 0.006435: Extended support if bearish momentum accelerates. 3. Indicator Confluence EMA: Price is trading below the short-term EMA, confirming bearish intraday structure. RSI: Moving near the mid-line, indicating neutral momentum but with a bearish tilt due to repeated supply pressure. Trendline: Downward minor trendline is respected, adding confluence to short-bias setups. 4. Trading Strategy Ideas Bearish Scenario (Primary) Entry: Near 0.006462 – 0.006470 Stop-Loss: Above 0.006500 Take Profit 1: 0.006448 Take Profit 2: 0.006435 This setup follows the supply rejection pattern and aligns with the lower-high structure. Bullish Scenario (Alternative) Activate only if price closes above 0.006510. Potential reversal toward 0.006530. Low probability at the moment due to market behavior. 5. Market Outlook USD/JPY remains under pressure after failing to break through the strong supply zone. Unless buyers can reclaim the upper resistance, the chart favors a continuation toward the major support at 0.006448. A confirmed break of this level may open the door for further declines. If you find this analysis helpful, feel free to follow for more daily trading strategies and market updates.