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USD/JPY Price Analysis: Bulls can ignore pullback from 14-week-old resistance line

  • USD/JPY prints mild losses while snapping a two-day winning streak, recently recovering from intraday low.
  • Bullish MACD, 14-day-long support line and a sustained break of 50-day SMA favor buyers.

USD/JPY trims early-Asia losses while rising to 105.90 ahead of Friday’s European session. The yen pair took a U-turn from a multi-day-old resistance line the previous day. However, the resulted declines stay above 50-day SMA support amid bullish MACD.

As a result, buyers are waiting for entries and will not hesitate to refresh the monthly high of 106.10 if witnessing an upside clearance of 106.05 trend line resistance.

In doing so, the USD/JPY bulls will eye the August month’s peak surrounding 107.05 whereas the last month’s top of 106.55 can offer an intermediate halt during the rise.

Meanwhile, a downside break below the 50-day SMA level of 105.80 will have an opportunity to bounce from an upward sloping trend line from September 21, at 105.47 now.

In a case where the bears sneak around 105.45, the monthly low close to 104.95 and the September month’s trough of 104.00 will be in the spotlight.

USD/JPY daily chart

Trend: Pullback expected

Additional important levels

Overview
Today last price105.9
Today Daily Change-13 pips
Today Daily Change %-0.12%
Today daily open106.03
 
Trends
Daily SMA20105.42
Daily SMA50105.81
Daily SMA100106.53
Daily SMA200107.48
 
Levels
Previous Daily High106.11
Previous Daily Low105.92
Previous Weekly High105.8
Previous Weekly Low104.94
Previous Monthly High106.55
Previous Monthly Low104
Daily Fibonacci 38.2%106.04
Daily Fibonacci 61.8%105.99
Daily Pivot Point S1105.93
Daily Pivot Point S2105.84
Daily Pivot Point S3105.75
Daily Pivot Point R1106.12
Daily Pivot Point R2106.2
Daily Pivot Point R3106.3

Author

Anil Panchal

Anil Panchal

FXStreet

Anil Panchal has nearly 15 years of experience in tracking financial markets. With a keen interest in macroeconomics, Anil aptly tracks global news/updates and stays well-informed about the global financial moves and their implications.

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