USDJPY eases, unable to clearly break above daily Tenkan-sen pivot

Slobodan Drvenica Windsor Brokers

USDJPY

The pair eases from session high at 117.52, after today’s extension of Friday’s strong bounce, showed initial signs of stall.
The price falls back close to former low and pivot at 116.03, being so far unable to sustain attempts above daily Tenkan-sen line at 116.82.
Initial support at 116.60 was lost, with near-term technicals returning to negative setup and seeing increased risk of further easing.
Break below 116.00 handle (also Fibo 61.8% of 115.06/117.52 upleg) and daily Kijun-sen at 115.75 would generate fresh bearish signal and risk return back to key near-term support at 115.05 (last Friday’s correction low).
Conversely, close above daily Tenkan-sen is needed to sideline downside risk, while acceleration above 117.52 would turn focus towards key barriers at 118.65 (recent highs / trendline resistance).

Res: 116.82; 117.52; 118.17; 118.65
Sup: 116.00; 115.75; 115.05; 114.52

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.

EUR/USD bounces off lows, back to 1.1860

EUR/USD now manages to regain some balance, retesting the 1.1860-1.1870 band after bottoming out near 1.1830 following the US NFP data on Wednesday. The pair, in the meantime, remains on the defensive amid fresh upside traction surrounding the US Dollar.

GBP/USD rebounds to 1.3660, USD loses momentum

GBP/USD trades with decent gains in the 1.3660 region, regaining composure following the post-NFP knee-jerk toward the 1.3600 zone on Wednesday. Cable, in the meantime, should now shift its attention to key UK data due on Thursday, including preliminary GDP gauges.

Gold stays bid, still below $5,100

Gold keeps the bid tone well in place on Wednesday, retargeting the $5,100 zone per troy ounce on the back of humble gains in the US Dollar and firm US Treasury yields across the curve. Moving forward, the yellow metal’s next test will come from the release of US CPI figures on Friday.