1 May 2015
USD/JPY retracement to continue – SG
FXStreet (Barcelona) - Technical Analysts at Societe Generale, note technicals suggest that the retracement of USD/JPY might continue, but only below 118.20 risks a deeper correction.
Key Quotes
“USD/JPY is retracing from decadal long trend line resistance at 122/124. Monthly RSI is toppish suggesting the retracement to continue.”
“The pair is forming a daily H&S pattern in daily charts; it’s noteworthy that a minor consolidation is happening within a pattern similar to a triangle, with limits at 120 and 118.20.”
“On short term immediate resistance is seen at 120, a break above will mean a retest of right shoulder at 121”
“The neckline support of 118.20 will decide if the correction deepens further.”
Key Quotes
“USD/JPY is retracing from decadal long trend line resistance at 122/124. Monthly RSI is toppish suggesting the retracement to continue.”
“The pair is forming a daily H&S pattern in daily charts; it’s noteworthy that a minor consolidation is happening within a pattern similar to a triangle, with limits at 120 and 118.20.”
“On short term immediate resistance is seen at 120, a break above will mean a retest of right shoulder at 121”
“The neckline support of 118.20 will decide if the correction deepens further.”