Thursday, May 29, 2014

USD/JPY Technical Analysis ? Treading Water Below 102.00




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Talking Points:



  • USD/JPY Technical Strategy: Flat


  • Support: 101.61 (50% Fib exp.), 101.28 (61.8% Fib exp.)


  • Resistance: 101.94 (38.2% Fib exp.), 102.35 (23.6% Fib exp.)


The US Dollar continues to tread water against the Japanese Yen after prices met resistance below the 102.00 figure. Resistance is at 101.94, the 38.2% Fibonacci expansion, with a break above that exposing the 23.6% level at 102.35. Alternatively, a daily close below support marked by the 50% Fibat 101.61opens the door for a test of the 61.8% expansion at 101.28.



The available trading range is too narrow to justify taking a trade on the long or the short side from a risk/reward perspective. We will remain on the sidelines for now, waiting for a more actionable opportunity to present itself.



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USD/JPY Technical Analysis – Treading Water Below 102.00


Daily Chart – Created Using FXCM Marketscope 2.0



— Written by Ilya Spivak, Currency Strategist for DailyFX.com





USD/JPY Technical Analysis ? Treading Water Below 102.00

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