DAILY USD/JPY TECHNICAL OUTLOOKLast Update At 25 Feb 2015 23:42GMT
Trend Daily Chart
Sideways
Daily Indicators
Neutral
21 HR EMA
118.87
55 HR EMA
118.92
Trend Hourly Chart
Near term down
Hourly Indicators
Neutral
13 HR RSI
46
14 HR DMI
-ve
Daily Analysis
Consolidation with downside bias
Resistance
119.84 - Tue's high
119.41 - Last Tue & Wed high
119.06 - Y'day's high
Support
118.62 - Y'day's low
118.20 - Last Mon's low (NZ)
117.62 - 61.8% r of 115.85-120.48
. USD/JPY - 118.83... The greenback extended previous day's sell off at Asian open Wed n fell to session low at 118.62, however, renewed cross selling in yen due to gain in the Nikkei to a fresh 15-year high lifted the pair. Dlr later ratcheted higher to 119.06 in NY morning b4 edging lower in NY afternoon.
. Y'day's price action suggests choppy trading below Feb's high at 120.48 wud continue with downside bias. The bigger picture remains unchanged, we're retaining the 'triangle' scenario fm 2014 7-1/2 year peak at 121.85 (Dec) where the sell off to 115.85 marked the terminus of the a-leg, then rebound to 120.83 was the b-leg top (also pivotal res), subsequent decline to 115.85 was the c-leg bottom n aforesaid ascent to 120.48 was the d-leg top. If this triangle consolidation holds true, decline fm 120.48 is therefore the 'final' e-leg fall which shud pressure price to 117.62 (being 61.8% r of 115.85-120.48) but sup at 116.66 shud contain downside.
. Today, we are holding a short position entered y'day for weakness to 118.35 n one shud look to exit on such decline as last week's low at 118.20 shud remain intact on 1st testing n yield subsequent recovery.
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