USD/JPY
closed last Friday quite bearish, bur during yesterday’s session recovered some
of the losses. The pair climbed with 34 pips to 103.59 after trading within
narrow range between 103.78 and 103.59.
Currently the USD/JPY pair is showing some bullishness although the Japanese yen may suffer during the next weeks. The pair retested the resistance located at 104.00, but couldn’t move higher. Next resistance is located at 104.30 and we must consider this as a key level, because this is where the pair stopped climbing higher. That said level has been support, but the last time the pair reached it, it has become resistance. The importance of this level comes from the fact that this is the last peak, marked by the pair. If USD/JPY close above and this level turn to support, we will witness a higher low, higher top and turning of 104.30 from resistance to support again. And hypothetically trend reversal should follow.But at present, the price cannot push above 104.30, and more likely the pair will remain in sideways movement between 104.30 and 100.00. Strong support is seen at 101.40 - 101.50.
Currently the USD/JPY pair is showing some bullishness although the Japanese yen may suffer during the next weeks. The pair retested the resistance located at 104.00, but couldn’t move higher. Next resistance is located at 104.30 and we must consider this as a key level, because this is where the pair stopped climbing higher. That said level has been support, but the last time the pair reached it, it has become resistance. The importance of this level comes from the fact that this is the last peak, marked by the pair. If USD/JPY close above and this level turn to support, we will witness a higher low, higher top and turning of 104.30 from resistance to support again. And hypothetically trend reversal should follow.But at present, the price cannot push above 104.30, and more likely the pair will remain in sideways movement between 104.30 and 100.00. Strong support is seen at 101.40 - 101.50.
MACD
is showing bullish signs. RSI is in the overbought area and pointing positive
divergence.
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