4-hour timeframe

Overview:
The analysis of the yen on Forex market for August 12 shows that at the moment downside movement is remaining, the currency is still observing a sell signal with target level 74.96. The formed sell signal is strong and confirmed, since the Chinkou Span fixated below the price graph and the price is below the Ichimoku cloud. At the moment the first target is 76.38 – the first support level, the price reached this level but did not pass it yet. If this level is passed the second target will be the second support level at 74.37. Downside movement remains while the price is below the Kijun-sen (77.25), if the price fixates above this line it is recommended to cut short positions. The Chinkou Span is below the price graph, which confirms the current sell signal and indicates bearish sentiment. The Bollinger bands show continuing downside movement, the lines are slightly narrowng and directed down. The MACD is ascending, which indicates current correction movement, therefore it is not recommended to trade down now. Trading should be resumed as soon as the correction ends, which will be indicated by the reverse of the MACD to the downside.
 

Trading recommendations:
Currently it is recommended to trade down with target at 76.38 and further to 74.37. Stop Loss should be placed above 77.25 and stretched down as the Kijun-sen declines. It is recommended to open short positions after the MACD reverses down.
In addition to technical image, one should take into account the fundamental data and the time of their release.

Сhart annotation:
Ichimoku indicator:
Tenkan-sen — red line
Kijun-Sen — blue line
Senkou Span A — light brown stipple line
Senkou Span B — light purple stipple line
Chinkou Span — green line
Bollinger Bands indicator:
3 yellow lines
MACD indicator:
The red line and the histogram with white bars in the indicators window.