USD/JPY analysis: stagnated at higher levels
|USD/JPY Current price: 104.26
The USD/JPY pair traded as high as 104.87 this Tuesday, level last seen late July, but changed course after the release of a disappointing US consumer confidence reading, which sent US yields sharply lower as demand for safe-haven assets increase. The 10-year note and 30-year bond yields fell from one-week highs, whilst the two-year note yields slid from a two-week peak. The USD/JPY pair trimmed all of its daily gains to close the day pretty much flat around 104.20, and the short term picture supports some additional declines, given that technical indicators have entered negative territory, with the RSI indicator heading modestly lower around 44. In the same chart the 100 SMA is advancing modestly above the 200 SMA, both providing a strong dynamic support around 103.95, and the level to break to confirm further declines. In the 4 hours chart, technical indicators have turned sharply lower within positive territory, holding so far above their mid-lines, whilst the 100 SMA continues heading sharply higher below the current level, suggesting declines will likely be short-lived.
Support levels: 103.95 103.50 103.20
Resistance levels: 104.60 105.05 105.40
View Live Chart for the USD/JPY
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.