DAILY USD/JPY TECHNICAL OUTLOOKLast Update At 26 Mar 2015 23:40GMT
Trend Daily Chart
Sideways
Daily Indicators
Turning down
21 HR EMA
119.14
55 HR EMA
119.31
Trend Hourly Chart
Sideways
Hourly Indicators
Turning up
13 HR RSI
51
14 HR DMI
+ve
Daily Analysis
Initial rise b4 retreat
Resistance
120.61 - Last Fri's Asian low (now res)
120.17 - Mon's high
119.98 - Tue's high
Support
118.91 - Y'day's hourly sup
118.33 - Y'day's low
118.04 - 61.8% r of 115.57-122.03
. USD/JPY - 119.18...The pair penetrated Tue's low at 119.22 in Asia y'day as sell off in global stocks triggered active broad-based buying of yen on risk aversion. Price tumbled to 118.33 in Europe, however, release of upbeat U.S. data n hawkish comments by Fed's officials lifted dlr to 119.43 near NY close.
. Looking at the daily chart, despite dlr's early brief breach of 2014 peak at 121.85 (Dec) to a near 8-year high of 122.03, lack of follow-through buying n subsequent brief but sharp fall to 119.29, then to a 5-week low of 118.33 y'day confirms a top is in place. Although dlr's strg rebound fm 118.33 suggests a temporary low has been made there n 2-3 days of choppy consolidation is in store, reckon 120.18 (50% r of 122.03-118.33) shud cap upside n yield another leg of decline later next week. Below 118.33 wud yield weakness twd 117.80 n then twd next chart obj. at 116.66 next month.
. Today, buying dlr on dips in anticipation of further rise is favoured, however, 120.17/18 wud cap upside. On the downside, only below 118.33 risks one more fall to 118.00/04 b4 prospect of a correction.
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