Forex: Top-heavy USD/JPY may test 78.80 support
Forex pairs in this Article »
USD/JPY
FXstreet.com (San Francisco) - USDJPY dipped to fresh 3-day lows after Japan's Ministry of Finance reported weaker than expected trade balance figures for July.
The market fell to as low as 79.16 upon release, but has since rallied back to opening levels above the 100-day EMA, last quoted around 79.25.
Valeria Bednarik, Chief Analyst at FXstreet.com says that technical studies on the hourly chart "supports further bearish corrections," and that the 4-hour chart presents a similar outlook, "supporting a test of the 78.80 area, and even lower once below 79.10 immediate support as per being the 38.2% retracement of the latest bullish daily run," she says.
If price regains the upside, Ms. Bednarik identifies resistance levels at 79.70, 80.00 and 80.30. At the time of writing, USDJPY remains top-heavy, and has slid back into the 79.20 area.
The market fell to as low as 79.16 upon release, but has since rallied back to opening levels above the 100-day EMA, last quoted around 79.25.
Valeria Bednarik, Chief Analyst at FXstreet.com says that technical studies on the hourly chart "supports further bearish corrections," and that the 4-hour chart presents a similar outlook, "supporting a test of the 78.80 area, and even lower once below 79.10 immediate support as per being the 38.2% retracement of the latest bullish daily run," she says.
If price regains the upside, Ms. Bednarik identifies resistance levels at 79.70, 80.00 and 80.30. At the time of writing, USDJPY remains top-heavy, and has slid back into the 79.20 area.
Free Annual Reports
