Monday 12 December 2016

USD/JPY Bears Just Seemed To Melt Away

A fresh multi-month high was pinned today at 116.12, which is a level that has not been visited since February. Market participants were overwhelmed by  the OPEC matters and optimism for shortly shined over the USD/JPY pair. The greenback was set under pressure during the European session and the pair is currently trading at 115.08.
Looking into the hourly chart it is seen that the price is still holding above the 200-day moving average. RSI has moved downwards and is situated at around 40%. Stochastic also sloped and is showing extreme oversold conditions. Both indicators and displaying strong bearish momentum. 
Strong support remains the 114.75 level( 1st and 5th December highs). Resistance is seen at 115.61 and 116.00 area. 



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