Best Opportunities, Vision and Technical Analysis for the USD/JPY pair 12 April 2019
2019-04-12 01:19 am | Resource: Technical Analysis | No Views : 206
Time frame Used - four hours
The USD/JPY is moving in a bullish direction in the near term.
the Purchasing power managed to control the movement of the USD/JPY pair as The USD/JPY pair ended yesterday's session on rise to hit the resistance level of as we expected in the previous report as the USD-JPY is facing resistance and selling pressure around this level.
In view of the technical indicators
Both the RSI and the Stochastic are indicating to the arrival of indicators in the overbought area.
Therefore, we expect that the USD/JPY will fall back to 111.54 - 111.27 levels again, and this scenario fails in case of stability above 111.83 level.
The alternative scenario is that the USD/JPY retest level of 112.10.
Looking at the daily chart, we find that the USD/JPY also broke the ascending channel and reached 50% Fibonacci correction levels. Moving higher towards 111.50 level which represents an important resistance level.
Sell USD/JPY around 111.83 level for targeting levels of 111.54 - 111.27 With the activation of stop loss in case of closure above the level of 111.83.
The fundamental overview
• On the economic data level, there is no data or reports with a strong impact on the Japanese yen.
• On the other hand, the final reading of US inflation expectations - Michigan and the preliminary reading of US consumer confidence - will be released at exactly 2 GMT.
Resistance: 111.83 - 112.10 - 112.50
Support: 111.54 - 111.27 - 111.10
The US dollar rallied against major currencies in early European trade on Friday, as investors await Federal Reserve Chairman Jerome Powell's speech at the Jackson Hole seminar amid intense pressure from President Donald Trump to offer sharp interest rate cuts to help support the economy. Further evidence of interest rate outlook awaits. The minutes of the July FOMC meeting on Wednesday showed that most officials noticed the rate cut in…
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