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14 May 2015
USD/JPY: 118.80 is key support - FXStreet
FXStreet (Guatemala) - Valeria Bednarik, chief analyst at FXStreet explained that USD/JPY reached a fresh 2-week low of 119.03 on the back of dollar sell-off, consolidating near it ahead of the upcoming Asian opening.
Key Quotes:
"The pair is closing the day below its 100 DMA, but the fact is that it has been struggling around it ever since late March, confined between 118.30 and 121.83, unable to define a clear directional strength."
"In the short term, the downside remains favored as the price extended sharply below its 100 and 200 SMAs, both in the 119.90 region, whilst the technical indicators are turning flat in extreme oversold levels, far from suggesting an upcoming upward correction."
"In the 4 hours chart the price also stands below its moving averages that anyway stand horizontal, reflecting the range trading that dominates the pair, whilst the technical indicators are flat in oversold territory, with a high risk towards the downside on a break below 118.80, the immediate support."
Key Quotes:
"The pair is closing the day below its 100 DMA, but the fact is that it has been struggling around it ever since late March, confined between 118.30 and 121.83, unable to define a clear directional strength."
"In the short term, the downside remains favored as the price extended sharply below its 100 and 200 SMAs, both in the 119.90 region, whilst the technical indicators are turning flat in extreme oversold levels, far from suggesting an upcoming upward correction."
"In the 4 hours chart the price also stands below its moving averages that anyway stand horizontal, reflecting the range trading that dominates the pair, whilst the technical indicators are flat in oversold territory, with a high risk towards the downside on a break below 118.80, the immediate support."