USD/JPY easing out of overbought conditions

By FXstreet.com | July 31, 2014 AAA

FXStreet (Guatemala) - Valeria Bednarik, chief analyst at FXStreet explained that having failed to extend beyond 103.00, the USD/JPY trades steadily around 102.80 area, coming under pressure not only because stocks in red, but also because US yields, giving up most of yesterday’s gains.



Key Quotes:



“The hourly chart however shows price holding in a tight range with moving averages still heading higher below current price, and indicators flat in neutral territory”.



“In the 4 hours chart technical readings ease from overbought territory supporting some downward correction towards 102.35, albeit range will likely prevail ahead of US news, which at the end will be the ones deciding the pair’s destiny”.



“Support levels: 102.35 101.95 101.60”.



“Resistance levels: 103.10 103.40 103.80”



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