What you see here is a point-and-figure chart. I love these charts because they remove the noise and time other charts show so that you can focus on the break of support and resistance levels. Volume can be displayed as well.

The one above shows the evolution of the USD/JPY from the 70s till today. Why are we writing about the Japanese yen? We have received many questions about this pair. Some asked us because they were thinking of moving there, and others in relation to buying real estate in Japan.

The most important aspect of the chart is marked with a square: a powerful bear trap. After that we can see the beginning of bullish movement that will very likely continue. Our target prices are first 160 and then 180.