USD/JPY: Technical Analysis: Daily Ichimoku Cloud long-entry set-up in development; target 113.60/114.20

USD/JPY is at a crossroads on a techncial outlook - So far, unable to find commitments from the bulls to get over the 112 line.
However, while holding above 111.20/50, the outlook remains bullish.
The daily Ichimoku Cloud is not quite meeting the full criteria for a long with a sustained upside projection target.

The four criteria should be as follows:

Price must close above the Cloud.
Cloud ahead must be bullish (green).
Conversion Line is greater than the baseline.
Lagging Span is greater than or crosses above the cloud.

The Lagging Span is not above the cloud, (thick green price line in the chart below targetting the space where the eclipse has been drawn above the cloud).
A break of 112.20 would be a low-risk long entry point if Lagging Span is above the cloud, (through the eclipse completing the criteria for a sustained trailing stop long entry position with calculated risk and subsequent initial placement of the stop), targetting a break of the 112.52 horizontal 78.6% Fibo resistance line.
Target break of 113.60 trend line resistance for 114.20.
Failure at the 61.8% Fibo and channel support opens risk back to 109.50 cloud support.

Share: Feed news

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.