USDJPY: Candle Pattern Marks Sharp Pullback
Forex pairs in this Article »
USD/JPY
Strategy: Flat
Prices declined as expected after putting in a bearish Dark Cloud Cover candlestick pattern below resistance at 79.58, the 61.8% Fibonacci retracement. Near-term support is now seen at a falling trend line set from late June (78.16), with a break below that exposing 77.96. Resistance is found at 78.65, with a push back above that targeting the 79.12-26 area marked by a former range bottom and the 50% Fib. Risk/reward considerations argue against entering a trade at current levels and we will stand side for now.
Daily Chart - Created Using FXCM Marketscope 2.0
--- Written by Ilya Spivak, Currency Strategist for Dailyfx.com
To contact Ilya, e-mail ispivak@dailyfx.com. Follow Ilya on Twitter at @IlyaSpivak
To be added to Ilya's e-mail distribution list, send a note with subject line "Distribution List" to ispivak@dailyfx.com
Prices declined as expected after putting in a bearish Dark Cloud Cover candlestick pattern below resistance at 79.58, the 61.8% Fibonacci retracement. Near-term support is now seen at a falling trend line set from late June (78.16), with a break below that exposing 77.96. Resistance is found at 78.65, with a push back above that targeting the 79.12-26 area marked by a former range bottom and the 50% Fib. Risk/reward considerations argue against entering a trade at current levels and we will stand side for now.
Daily Chart - Created Using FXCM Marketscope 2.0
--- Written by Ilya Spivak, Currency Strategist for Dailyfx.com
To contact Ilya, e-mail ispivak@dailyfx.com. Follow Ilya on Twitter at @IlyaSpivak
To be added to Ilya's e-mail distribution list, send a note with subject line "Distribution List" to ispivak@dailyfx.com
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