USD/JPY Price Analysis: Pullback needs validation from 141.00


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  • USD/JPY retreats from 11-week-old previous support, snaps four-day downtrend.
  • Convergence of 100-DMA, 50% Fibonacci retracement level challenge bears.
  • Golden ratio appears the key for bearish confirmation, monthly resistance line adds to the upside filters.

USD/JPY takes offers to refresh intraday low near 141.70 heading into Tuesday’s European session.

In doing so, the Yen pair reverses from the previous support line stretched from early September, around 142.25 by the press time, amid bearish MACD signals.

The pullback moves, however, appear shallow as a confluence of the 100-Day Moving Average (DMA) and the 50% Fibonacci retracement level of the pair’s August-October upside, near the 141.00 round figure, challenge the USD/JPY bears.

Even if the Yen pair sellers dominate past 141.00, the 140.00 threshold and the 61.8% Fibonacci retracement level surrounding 138.60, also known as the Golden Ratio, could restrict the quote’s further downside.

Following that, the early August high near 135.50 could regain the market’s attention.

On the contrary, an upside break of the support-turned-resistance line near 142.25 won’t be an open invitation to the USD/JPY bears as a downwards-sloping resistance line from late October, close to 143.45, could challenge the upside momentum.

In a case where USD/JPY remains firmer past 143.45, multiple hurdles around 145.10 appear the last defense of the pair sellers.

To sum up, USD/JPY retreats from short-term key hurdle but the overall view remains bullish.

USD/JPY: Daily chart

Trend: Limited downside expected

Additional important levels

Overview
Today last price 141.72
Today Daily Change -0.35
Today Daily Change % -0.25%
Today daily open 142.07
 
Trends
Daily SMA20 144.36
Daily SMA50 145.08
Daily SMA100 141.03
Daily SMA200 133.47
 
Levels
Previous Daily High 142.25
Previous Daily Low 140.16
Previous Weekly High 140.8
Previous Weekly Low 137.67
Previous Monthly High 151.94
Previous Monthly Low 143.53
Daily Fibonacci 38.2% 141.45
Daily Fibonacci 61.8% 140.96
Daily Pivot Point S1 140.74
Daily Pivot Point S2 139.41
Daily Pivot Point S3 138.65
Daily Pivot Point R1 142.83
Daily Pivot Point R2 143.59
Daily Pivot Point R3 144.92

 

 

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