USD/JPY Open 89.97 High 90.54 Low 89.14 Close 89.96
The strong Dollar led the currency couple upwards on Wednesday, towards the important 90.54 resistance and upper limit of the bearish channel, where the bullish momentum was limited. Further upward correction may be expected, especially if the above level is penetrated, with possible test of 91.37. Than we may see turn around scenario in action, with strengthening of the Yen against the Dollar with next downward objective towards yesterday’s bottom and first support 89.14. Break below it would confirm renewal of the bearish channel and could open the way towards next 88.29 support level. Quotes currently move above the 50 EMA and about to cross down the 20 EMA, indicating bulls exhaustion. Decreasing RSI and CCI indicators signal of a potential rising of the Yen. The MACD seems to consolidates, suggesting calm market. Overall, technical indicators show some bearish pressure on the pair.
Technical resistance levels: 90.54 91.37 92.25
Technical support levels: 89.14 88.29 87.43
Trading range: 90.65 – 90.00
Trend: Downward
Sell at 90.54 SL 90.84 TP 90.14
Written by iFOREX.bg
