USD/JPY – Price Rejects Key Resistance, Bearish Setup Activated JAPANESE YEN / U.S. DOLLARFX_IDC:JPYUSDHenrybillionUSD/JPY continues to trade within a clear sideways range, but the latest price action shows a strong rejection from the major resistance zone around 0.006505 – 0.006515. This area has acted as a ceiling multiple times, forming a well-defined structural top. The recent spike into resistance was quickly absorbed by sellers, leaving a rejection wick — a typical sign of weakening bullish momentum. Price is now hovering below the 9-EMA, suggesting a possible shift toward short-term bearish continuation. Key Technical Levels Resistance Zone 0.006505 – 0.006515: Major supply zone, repeatedly rejected Bears remain in control as long as price stays below this level Support Zone 0.006448 – 0.006452: Strong demand area; previous swing low A clean break below this level may trigger further downside Market Outlook Price is moving under the EMA 9, indicating bearish pressure Multiple rejections at resistance signal exhaustion from buyers Range structure remains intact, but momentum favors sellers in the current setup Trading Strategy 1. Short Setup – Active Idea Sell below resistance as long as price stays under 0.006505 Ideal entry zone: current region (as shown on chart) TP: 0.006449 (major support) SL: Above 0.006476 2. Breakout Continuation If price breaks below 0.006448, bearish momentum likely accelerates → Look for retest and continuation Next TP zone: 0.006430 SL: 10–15 points above breakout 3. Countertrend Buys Only consider buys if price reacts sharply at 0.006448 – 0.006452 Not recommended unless a strong reversal candle forms Conclusion USD/JPY’s rejection from the resistance zone suggests a bearish intraday outlook. Sellers are defending the ceiling aggressively, and price may revisit key support levels if bearish pressure persists. Range traders can continue to trade both edges, while momentum traders should watch for a clean break below support. If you find this analysis helpful, follow and save it to stay updated with more TradingView-optimized trading strategies.