USDJPY – extended bounce sidelines downside risk; daily Tenkan-sen underpins recover

Slobodan Drvenica Windsor Brokers

USDJPY

Bulls are retaking control on fresh extension of Friday’s strong rally from 115.06, where last week’s pullback from 118.59 high found good support.
The downside risk that was mounting on double-top pattern and probe below key supports at 116.03 / 115.75 is fading, as fresh bullish acceleration emerged above pivot at 116.82 (daily Tenkan-sen) and so far retraced over 61.8% of 118.59/115.06 downleg.
Corrective easing should be ideally contained at 116.60 zone, with repeated close above daily Tenkan-sen, needed to maintain bullish tone for fresh attempts higher.
Conversely, close below Tenkan-sen support would soften the tone and risk retest of daily Kijun-sen pivot at 115.75

Res: 117.52; 118.17; 118.65; 119.07
Sup: 116.82; 116.60; 116.00; 115.75

Interested in USDJPY technicals? Check out the key levels

1. R3 117.56
2. R2 117.41
3. R1 117.28
PP 117.12
1. S1 117.00
2. S2 116.84
3. S3 116.71

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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