USD/JPY Technical Analysis: 2-Month Downtrend Broken?

By DailyFx | July 28, 2014 AAA

DailyFX.com -

To receive Ilya's analysis directly via email, please SIGN UP HERE

Talking Points:

  • USD/JPY Technical Strategy: Flat
  • Support: 101.81, 101.52, 101.06
  • Resistance:102.04, 102.25-28, 102.57

The US Dollar may be set to extend its move higher against the Japanese Yen after prices broke resistance at the top of a falling channel top set from early June. The bulls now aim to challenge the 50%Fibonacci expansion at 102.04, with a break above that exposing the 102.25-28 area marked by the May 13 close and the 61.8% level. Alternatively, a reversal back below the 38.2% Fib at 101.81 opens the door for a challenge of the 23.6% expansion at 101.52.

The available trading range is too narrow to justify a trade on the long or short side from a risk/reward perspective. We will continue to stand aside for now, waiting for an actionable trade setup to emerge.

Add these technical levels directly to your charts with our Support/Resistance Wizard app!

USD/JPY Technical Analysis: 2-Month Downtrend Broken?

Daily Chart - Created Using FXCM Marketscope 2.0

comments powered by Disqus
Related Forex Analysis
  1. GBP/USD claws to 1.6100 ahead of Europe
    Forex News

    GBP/USD claws to 1.6100 ahead of Europe

  2. EUR/USD glued to 1.2755; triggers are wanted
    Forex News

    EUR/USD glued to 1.2755; triggers are wanted

  3. Asia recap: most majors are still sleeping in a ranges; JPY is weakening
    Forex News

    Asia recap: most majors are still sleeping in a ranges; JPY is weakening

  4. Gold Struggling Below $1250, SPX 500 Trying to Retake 1900 Figure
    Forex News

    Gold Struggling Below $1250, SPX 500 Trying to Retake 1900 Figure

  5. US Dollar Technical Analysis: Stalling at Channel Support
    Forex News

    US Dollar Technical Analysis: Stalling at Channel Support

Trading Center