USD/JPY Current price: 120.91
View Live Chart for the USD/JPY
The USD/JPY pair jumped around 280 pips after the BOJ announced a rate cut to negative territory, surprising the market and triggering sharp advances in JPY crosses. The daily high was set at 121.38, and hovers around the 121.00 level, meeting short term buying interest around the 61.8% retracement of its latest decline around 120.60. The 1 hour chart shows that the technical indicators have resumed their advances within overbought territory, while the 100 and 200 SMA have advanced some, but remain far below the current level. In the 4 hours chart, the technical indicators retain their bullish slope, despite being in extreme overbought territory, whilst the price has advanced sharply above its 200 SMA for the first time since mid December. A strong US GDP may fueled the advance further, with a break above the daily high sending the pair towards 121.75, and 122.10 later in the day. Below the mentioned Fibonacci support, the pair can correct towards the 50% retracement of the same rally around 119.70, where buying interest will likely maintain the downside limited.
Support levels: 121.35 121.75 122.10
Resistance levels: 120.60 120.15 119.70
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