Forex: USD/JPY limited below 100 DMA

FXstreet.com (San Francisco) - USDJPY is consolidating between 78.63 and 78.75 in Asia, limited below the 100-day EMA (78.77) and below the descending trend line measured from the peak of June 25 to that of August 21.

"The pair has been unable to overcome the [100-day MA] since late May, so a strong advance above it will likely anticipate more gains targeting first the 79.50/60 price zone," observes Valeria Bednarik, Chief Analyst at FXstreet.com.

If the bounce from the 77.40 price zone set late September extends in the week ahead, resistance is noted at 79.00 (200-day EMA). Above there, a test of offers at 79.20 (Sep 19 high) is possible, then 79.95 (July 12 high). To the downside, Ms. Bednairk identifies support levels at 78.50, 78.35 and 78.10.

USDJPY last trades at 78.70.