USD/JPY outlook: Bears probe again through key Fibo support

Slobodan Drvenica Windsor Brokers

USD/JPY

Bears probe again below key Fibo support at 105.20 (61.8% of 101.18/111.71) after brief consolidation today. Strong dollar-negative sentiment and high safe-haven demand keep the pair under pressure, with close below 105.20 to generate bearish signal for extension of steep fall which extends into second straight week. Clear break of 105.20 pivot would expose targets t 104.50 (13 May low) and 103.66 (Fibo 76.4% of 101.18/111.71), but oversold daily studies warn that bears could be delayed further and extend consolidation. Former lows at 105.98 and 106.07 (7 May / 23 Jun) mark strong barriers which are expected to keep the upside protected.

Res: 105.68; 105.98; 106.07; 106.44
Sup: 105.11; 104.78; 104.50; 103.98

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

1. R3 106.98
2. R2 106.56
3. R1 105.96
PP 105.54
1. S1 104.95
2. S2 104.52
3. S3 103.93

Author

Slobodan Drvenica

Windsor Brokers

Industry veteran with over 22 years’ experience, Slobodan Drvenica joined Windsor Brokers in 1995 when he was an active trader for more than 10 years, managing the trading desk and own account departments.

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