USD/JPY, Technical Analysis – H4

The pair continues to face the threat of a substantial decline. A “Double Top” pattern has formed, partially confirmed by bearish momentum originating from the 160,500 level. The medium-term downside potential is approximately 400 pips, with the move possibly extending as low as 156,500.

Key Levels:

□ 160,500 (double top resistance)

□ 159,400 (first downside target)

□ 158,000 (second downside target)

□ 156,500 (medium-term target)

Primary Scenario:

Decline from the 160,500 zone, with initial targets at 159,400 and 158,000.

Alternative Scenario:

Continued consolidation around the 160,500 level.

Analyst Commentary:

High probability of the primary scenario playing out.