1. Hello Guest Do you know binary.com offers exclusive $20 No Deposit Bonus for FX Binary Point visitors? Click here to sign up

USD/JPY rally running out of steam? Not likely

Discussion in 'Fundamental Analysis' started by FXStreet_Team, Nov 5, 2015.

  1. FXStreet_Team

    FXStreet_Team Well-Known Member Trader

    Joined:
    Oct 7, 2015
    Messages:
    27,524
    Likes Received:
    0
    FXStreet (Guatemala) - USD/JPY is currently trading at 121.51 with a high of 121.61 and a low of 121.46.

    USD/JPY has consolidated at the mid-way point of the 121 handle after a strong uptrend commenced with the greenback under demand across the board with the 120.80 launch pad located in the vicinity of the 200 SMA at the start of the week and where the cluster of MA's accumulated before demand stepped in and risk picked up. However, today was a slightly different story.

    Wall Street closed in the red and Asian markets are mixed with a modest bid on the Nikkei. With positive date and hawkish Fed chat, equities are turning while cheap money just got slightly less cheaper as treasuries started to take a hit on the prospects of a Fed hike in December. The BoJ minutes were a beat of the same drum and had nothing to offer traders while the Nonfarm Payrolls will be the highlight this week and are expected to be positive.

    USD/JPY levels

    Technically, we are back on the bid and positive while above the cluster of MA's with plenty of room to go on the RSI (14) across the time frames. However, the real break out points stay with 121.80 (above the 100 DMA) while the 200 DMA at 121.07 needs daily closes allowing us to head towards the 122.00 level. To the downside, the 200 DMA, 120.00, 119.20 and 118.00 and 116.00 remain as key targets.
    For more information, read our latest forex news.
     

Share This Page