USD/JPY technical analysis: Near-term set-up favours bullish traders


  • The pair has managed to hold above 108.45-50 resistance breakout point.
  • Any meaningful dip might be seen as a buying opportunity near 108.00 mark.

The USD/JPY pair held on to its offered tone through the early North-American session on Wednesday, albeit lacked any strong follow-through selling amid a goodish intraday bounce in the US Treasury bond yields.
 
Given that the pair on Tuesday decisively moved beyond the 108.45-50 supply zone, the near-term bias might have already shifted in favour of bullish traders and support prospects for dip-buying interest at lower levels.
 
The mentioned region coincides with the 50% Fibonacci level of the 112.40-104.45 recent downfall, which should now act as a key pivotal point for short-term traders and help determine the pair's near-term directional move.
 
Meanwhile, technical indicators on the daily chart maintained their bullish bias and have also eased from slightly overbought conditions on the 4-hourly chart, reinforcing the near-term constructive outlook.
 
A sustained move beyond the 109.00 handle will now be seen as a key trigger for bullish traders and accelerate the positive move towards early August swing highs resistance near the 109.30 region (61.8% Fibo. level).
 
Above the mentioned barrier, the pair seems all set to aim towards reclaiming the key 110.00 psychological mark, with some intermediate resistance near the 109.60-65 region, en-route the next major hurdle near mid-110.00s.
 
On the flip side, any meaningful pullback below the mentioned resistance turned support might still be seen as a buying opportunity and thus, help limit further downside near the 109.00-108.90 support zone.

USD/JPY 4-hourly chart

fxsoriginal

USD/JPY

Overview
Today last price 108.75
Today Daily Change -0.11
Today Daily Change % -0.10
Today daily open 108.86
 
Trends
Daily SMA20 107.72
Daily SMA50 107.05
Daily SMA100 107.57
Daily SMA200 109.07
 
Levels
Previous Daily High 108.9
Previous Daily Low 108.15
Previous Weekly High 108.63
Previous Weekly Low 106.65
Previous Monthly High 108.48
Previous Monthly Low 105.74
Daily Fibonacci 38.2% 108.62
Daily Fibonacci 61.8% 108.44
Daily Pivot Point S1 108.38
Daily Pivot Point S2 107.89
Daily Pivot Point S3 107.63
Daily Pivot Point R1 109.12
Daily Pivot Point R2 109.38
Daily Pivot Point R3 109.87

 

 

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