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6 Jan 2015
Technicals support the dominant bearish tone for USD/JPY – FXStreet
FXStreet (Barcelona) - Valeria Bednarik, Chief Analyst at FXStreet, notes that the 4H indicators support the dominant bearish tone for USD/JPY, and anticipates a fresh selling pressure to push the pair lower towards 118.25 levels.
Key Quotes
“The USD/JPY extended its decline to a fresh 3-week low of 118.64 in Asian hours, albeit managed to regain some ground as dollar strengthened. The pair surged up to 119.39 but quickly turned back lower, which means risk remains to the downside in the short term.”
“Technically, the 1 hour chart shows indicators lacking clear directional strength below their midlines, whilst the price develops well below its moving averages.”
“In the 4 hours chart the indicators hold near oversold territory, supporting the dominant bearish tone: renewed selling pressure below 118.70 Fibonacci support, should lead to a steady decline towards 118.25, 50% retracement of the latest daily bullish run.”
Key Quotes
“The USD/JPY extended its decline to a fresh 3-week low of 118.64 in Asian hours, albeit managed to regain some ground as dollar strengthened. The pair surged up to 119.39 but quickly turned back lower, which means risk remains to the downside in the short term.”
“Technically, the 1 hour chart shows indicators lacking clear directional strength below their midlines, whilst the price develops well below its moving averages.”
“In the 4 hours chart the indicators hold near oversold territory, supporting the dominant bearish tone: renewed selling pressure below 118.70 Fibonacci support, should lead to a steady decline towards 118.25, 50% retracement of the latest daily bullish run.”