Daily Technical Outlook on Major - USD/JPY

AceTrader Team AceTrader

DAILY USD/JPY TECHNICAL OUTLOOK
Last Update At 11 Feb 2020 00:06GMT

Trend Daily Chart
Sideways

Daily Indicators
Neutral

21 HR EMA
109.75

55 HR EMA
109.75

Trend Hourly Chart
Sideways

Hourly Indicators
Neutral

13 HR RSI
51

14 HR DMI
-ve

Daily Analysis
Consolidation b4 one more rise

Resistance
110.67 - May 21 2019 high
110.28 - Jan's 7-1/2 month high (17th)
110.02 - Last week's high (Fri)

Support
109.54 - Last Fri's low
109.26 - Jan 29 high (now sup)
108.97 - 61.8% r of 108.32-110.02

USD/JPY - 109.76.. Dlr edged lower initially to 109.57 in Australia on Mon but failure to re-test Fri's 109.54 low (NY) lifted price to 109.85 in European morning. The pair later retreated in NY on renewed yen buying to 109.65.

Looking at the bigger picture, dlr's fall fm 118.66 (Dec 2016) to 107.27 in 2017 (Sep) confirms uptrend fm 2016 29-month bottom at 99.00 has made a top. Despite a strg rise fm 2018 16-month bottom at 104.57 to 114.55 in Oct, subsequent flash crash to a 9-month low at 104.79 in early Jan, then Aug's 33-month bottom at 104.46 suggests correction is over. Despite rally to 109.72 (Dec) n then to a 7-1/2 month peak of 110.28 in mid-Jan, subsequent selloff to 108.32 in Jan suggests said rise fm 104.46 has made a temp. top. Having said that, last week's rally abv 109.65 to 110.02 (Thur) suggests pullback has ended n would head to 110.67, then 111.56 (50% r of 118.66-104.46) later this month.

Today, dlr's cross-inspired rally fm 108.32 on last day of Jan to 110.02 due to risk-on trade suggests re-test of Dec's 110.28 peak would be seen, however , 'bearish divergences' on hourly indicators should cap price below 110.67 n yield correction. Only below 109.26/31 risks retracement to 109.97/00 b4 rebound.

Interested in USD/JPY technicals? Check out the key levels

1. R3 110.21
2. R2 110.04
3. R1 109.9
PP 109.73
1. S1 109.58
2. S2 109.41
3. S3 109.26

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AceTrader Team

AceTrader

Led by world-renowned technical analyst Wilson Leung, we have a team of 7 analysts monitoring the market and updating our recommendations and commentaries 24 hours a day.

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