USD/JPY outlook positive as long as we bounce 5 pips above the buying opportunity at 109.70/60.
EUR/JPY over ran 122.15/25 by 11 pips before targeting support at 121.85/75. Longs here worked perfectly on the bounce to 121.96 as we look for 122.15/25 today for profit taking.
Daily Analysis
USD/JPY bulls remain in control on the bounce from 5 pips above 109.60/70 & back to 110.09. Further gains are expected to retest 110.20/28. A break higher meets important 15 month trend line resistance at 110.40/45 this week. Watch for a high for the day. Bulls need a sustained break above 110.55 for the next buy signal.
Downside is expected to be limited with support at 110.00/109.95 & 109.70/60. Try longs with stops below 109.50. A break lower meets strong support at 109.30/25. This is the last line of defence for bulls. Longs need stops below 109.15. A break lower is a sell signal.
EUR/JPY holding below 122.00 risks a retest of support at 121.85/75. A break below 121.65 is the next sell signal targeting 121.50 & minor support at 121.25/15. .
Quite strong resistance at 122.15/25 but above 122.35 targets 122.45/50 before a retest of the 5 month recovery high of 122.82/86. Further gains target quite strong resistance at 123.00/10. A break higher targets 123.40/50.
Trends
Weekly outlook is neutral.
Daily outlook is neutral.
Short Term outlook is neutral.
The contents of our reports are intended to be understood by professional users who are fully aware of the inherent risks in Forex, Futures, Options, Stocks and Bonds trading. INFORMATION PROVIDED WITHIN THIS MATERIAL SHOULD NOT BE CONSTRUED AS ADVICE AND IS PROVIDED FOR INFORMATION AND EDUCATION PURPOSES ONLY.
Recommended Content
Editors’ Picks
EUR/USD clings to daily gains above 1.0650
EUR/USD gained traction and turned positive on the day above 1.0650. The improvement seen in risk mood following the earlier flight to safety weighs on the US Dollar ahead of the weekend and helps the pair push higher.
GBP/USD recovers toward 1.2450 after UK Retail Sales data
GBP/USD reversed its direction and advanced to the 1.2450 area after touching a fresh multi-month low below 1.2400 in the Asian session. The positive shift seen in risk mood on easing fears over a deepening Iran-Israel conflict supports the pair.
Gold holds steady at around $2,380 following earlier spike
Gold stabilized near $2,380 after spiking above $2,400 with the immediate reaction to reports of Israel striking Iran. Meanwhile, the pullback seen in the US Treasury bond yields helps XAU/USD hold its ground.
Bitcoin Weekly Forecast: BTC post-halving rally could be partially priced in Premium
Bitcoin price shows no signs of directional bias while it holds above $60,000. The fourth BTC halving is partially priced in, according to Deutsche Bank’s research.
Geopolitics once again take centre stage, as UK Retail Sales wither
Nearly a week to the day when Iran sent drones and missiles into Israel, Israel has retaliated and sent a missile into Iran. The initial reports caused a large uptick in the oil price.