Wednesday, 22 March 2017

USD/JPY The Bears Yell

USD/JPY pair has drowned into the deep waters today and marked a fresh yearly low at 110.72. Risk aversion and the falling bond yields are setting the Japanese yen at best performer role among the currency players.  
Currently the price is slightly recovering to trade now at 110.98, which can not be considered seriously as the price is almost around two hundred pips below the level it had at the beginning of the week.
Technically speaking on the H1 chart RSI is consolidating around 30 level and stochastic is heading  lower, which is to indicate down slide risk. The four-hour time frame is showing bearish 20-day and 50-day SMAs, that had crossed to below. Indicators are well placed within oversold area and had lost directional strength.
Risk to towards the downside remains actual as long as the pair remains below 111.60 (key support has turned now to resistance).






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