FXstreet.com (Barcelona) - Following massive drop yesterday in USD/JPY from 79.95 to 79.28 after BoJ delivered its latest monetary policy decision, the pair has recovered initial weekly prices last at 79.63. The move down this way looks more likely of a “sell the fact” action, rather than purely market disappointing from not enough decisive measures taking place from the Japanese central bank. Bad economic data for Japan keeps coming out, today with manufacturing PMI at 46.9, again lower than previous, almost for fourth consecutive month.
As Valeria Bednarik, Chief Analyst at Fxstreet.com notes: “the JPY/USD managed to close the day again above its 200 DMA that offers dynamic support around 79.50,” the analyst says, while: “The hourly chart shows however a limited bullish tone, as despite indicators stand in positive territory, price action develops below 100 and 200 SMA’s.” Valeria adds: “In the 4 hours chart technical readings are still bearish, and price needs to establish above the 79.70 mark to be able to post further gains over the upcoming sessions.”
Support levels for Valeria lie at: 79.40 79.10, and 78.80, while resistance levels show at: 79.70 79.95, and 80.30.
As Valeria Bednarik, Chief Analyst at Fxstreet.com notes: “the JPY/USD managed to close the day again above its 200 DMA that offers dynamic support around 79.50,” the analyst says, while: “The hourly chart shows however a limited bullish tone, as despite indicators stand in positive territory, price action develops below 100 and 200 SMA’s.” Valeria adds: “In the 4 hours chart technical readings are still bearish, and price needs to establish above the 79.70 mark to be able to post further gains over the upcoming sessions.”
Support levels for Valeria lie at: 79.40 79.10, and 78.80, while resistance levels show at: 79.70 79.95, and 80.30.
