USD/JPY Current price: 118.52
View Live Chart for the USD/JPY
Bouncing from 118.05, upside seen limited. The USD/JPY fell sharply for a second day in a row, after finally breaking its almost 2-month range. The pair traded as low as 118.05 in the European morning, stalling around the 23.6% retracement of its latest decline. The release of US better-than-expected inflation and employment data, helped the pair to bounce up to 118.55, which is the base of the mentioned 2-month range. The 1 hour chart shows that the price is well below its moving averages, but that the technical indicators are bouncing strongly from extreme oversold levels, still well below their mid-lines. In the 4 hours chart, the technical indicators also turned higher, but are still in oversold territory, supporting an upward corrective movement should the price accelerate above the current level. The rally can extend up to 119.35, yet it sellers surged around this last, the risk will turn back lower, with the market then looking for a break of the mentioned daily low.
Support levels: 118.10 117.70 117.20
Resistance levels: 118.60 119.00 119.35
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