USD/JPY outlook: Rising daily cloud underpins the action for final break of 109.63 pivot

Slobodan Drvenica Windsor Brokers

USD/JPY

The dollar stands at the front foot on Wednesday and eyes cracked pivot at 109.63 (Fibo 61.8% of 110.96/107.47), where bull-trap was formed on Monday that still weigh on the action.

On the other side, rising and thickening daily cloud continues to underpin, along with daily moving averages in bullish setup and rising positive momentum.

Bulls need sustained break through 109.63 barrier to signal continuation and expose targets at 110.00 (psychological) and 110.14 (Fibo 76.4% of 110.96/107.47).

Failure to clear 109.63 pivot would signal extended sideways mode, with near-term bias expected to remain with bulls while the price stays above 109 level.

Res: 109.10; 109.22; 109.63; 110.00
Sup: 109.20; 109.00; 108.88; 108.58

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

1. R3 110.01
2. R2 109.75
3. R1 109.55
PP 109.29
1. S1 109.09
2. S2 108.83
3. S3 108.63

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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