USD/JPY Clears April High on Yellen- AUD/USD Continues to Eye 0.9200

By DailyFx | August 22, 2014 AAA

DailyFX.com -

Talking Points:

- USD/JPY Clears April High (104.11) Even as S&P 500 Remains Capped by 1,994

- AUD/USD Risks More Meaningful Run at 0.9200 Support Amid Range-Bound Prices

- USDOLLAR Rebounds From 10,615 as Fed Chair Yellen Adopts More-Neutral Tone

For more updates, sign up for David's e-mail distribution list.

USD/JPY

USD/JPY Clears April High on Yellen- AUD/USD Continues to Eye 0.9200

  • Rallies to a fresh monthly high of 104.18 with the Relative Strength Index (RSI) pushing deeper into overbought territory.
  • Next key topside region to watch comes in around 105.20 (50.0% expansion) to 105.50 (61.8% retracement), which includes the 2014 high of 105.43.
  • The DailyFX Speculative Sentiment Index (SSI) ratio on USD/JPY flipped on August 19 and shows retail crowd is now net-short as it stands at -1.65.

AUD/USD

USD/JPY Clears April High on Yellen- AUD/USD Continues to Eye 0.9200

  • String of failed attempts to push back above former support (0.9330-40) raises the risk of seeing a more meaningful move at the key 0.9200-10 support zone.
  • Bearish RSI momentum may continue to limit the topside for AUD/USD; may need a key catalyst to spur a break of near-term range.
  • May need the Fed to lay out a more detailed exit-strategy as the Reserve Bank of Australia (RBA) continues to see a period of interest rate stability.

Join DailyFX on Demand for Real-Time SSI Updates Across the Majors!

Read More:

EUR/USD, USD/JPY Ready for Yellen, Draghi Jackson Hole Speeches

Fed’s Yellen Stokes USD Rally as Labor Progress Could Incite Rate Hikes

USDOLLAR

Index

Last

High

Low

Daily Change (%)

Daily Range (% of ATR)

DJ-FXCM Dollar Index

10639.38

10648.49

10614.66

0.11

108.72%

USD/JPY Clears April High on Yellen- AUD/USD Continues to Eye 0.9200USD/JPY Clears April High on Yellen- AUD/USD Continues to Eye 0.9200

Chart - Created Using FXCM Marketscope 2.0

USDOLLAR(Ticker: USDollar):

  • Dow Jones-FXCM U.S. Dollar Index continues to eye former support from earlier this year around 10,657 (61.8% expansion) as Fed Chair Janet Yellen adopts a more neutral tone for monetary policy.
  • Keeping a close eye on the RSI as it remains capped by 78; bullish break in oscillator to favor a further USD advances.
  • However, a turn in the RSI and a break of the bullish momentum would highlight a risk for a larger correction in the greenback.
  • Interim Resistance: 10,657 (61.8% expansion) to 10,661 (23.6% retracement)
  • Interim Support: 10,555 (50.0% retracement) to 10,561 (100% expansion)

Join DailyFX on Demand for Real-Time SSI Updates!

Release

GMT

Expected

Actual

Fed Chair Janet Yellen Speaks at Fed Symposium

14:00

Click Here for the DailyFX Calendar

comments powered by Disqus
Related Forex Analysis
  1. AUD/USD Recovery Hopes Fade With Reversal Pattern Lacking Confirmation
    Forex News

    AUD/USD Recovery Hopes Fade With Reversal Pattern Lacking Confirmation

  2. USD/JPY bulls need to take a breath before a new attack at 110.00
    Forex News

    USD/JPY bulls need to take a breath before a new attack at 110.00

  3. Crude Oil Recovers Ahead Of Inventories, Platinum Hits Multi-Year Low
    Forex News

    Crude Oil Recovers Ahead Of Inventories, Platinum Hits Multi-Year Low

  4. GBP/USD nervous below 1.6200, waiting for data
    Forex News

    GBP/USD nervous below 1.6200, waiting for data

  5. Dollar’s Current Bull Leg Strongest since Rally Through Crisis
    Forex News

    Dollar’s Current Bull Leg Strongest since Rally Through Crisis

Trading Center