USD/JPY Price Analysis: Under pressure after failed breakout

Down 0.13% on the day, USD/JPY eyes support at 103.52.
The hourly chart shows a failed breakout, a bearish pattern.

Omkar Godbole FXStreet Contributor

USD/JPY looks south, with the hourly chart showing a failed breakout.

The pair broke higher from a triangle pattern on Monday, confirming a resumption of the recovery rally from the Jan. 6 low of 102.59. However, that failed to inspire the bulls, and the pair fell back inside the triangle pattern on Tuesday.

The failed breakout, a powerful bearish signal, looks to be attracting selling pressure at press time. The pair is currently trading near 103.77, representing a 0.13% drop on the day and could drop to 103.52 (triangle low). The below-50 reading on the 14-hour Relative Strength Index favors the bearish case.

On the higher side, 104.08 is the level to beat for the bulls. A violation there would revive the bullish outlook and open the doors for 104.40 (Jan. 11 high).

Hourly chart

Trend: Bearish

Technical levels

USD/JPY

Overview
Today last price	103.81
Today Daily Change	-0.07
Today Daily Change %	-0.07
Today daily open	103.88

Trends
Daily SMA20	103.58
Daily SMA50	103.91
Daily SMA100	104.59
Daily SMA200	105.77

Levels
Previous Daily High	104.09
Previous Daily Low	103.66
Previous Weekly High	104.4
Previous Weekly Low	103.53
Previous Monthly High	104.75
Previous Monthly Low	102.88
Daily Fibonacci 38.2%	103.92
Daily Fibonacci 61.8%	103.82
Daily Pivot Point S1	103.66
Daily Pivot Point S2	103.44
Daily Pivot Point S3	103.23
Daily Pivot Point R1	104.09
Daily Pivot Point R2	104.3
Daily Pivot Point R3	104.52

Author

Omkar Godbole

FXStreet Contributor

Omkar Godbole, editor and analyst, joined FXStreet after four years as a research analyst at several Indian brokerage companies.

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