26 Sep 2013
USD/JPY with bearish outlook, watch ascending trendline
FXstreet.com (Barcelona) - The USD/JPY continues to slowly but steadily grind lower this week, with the exchange rate heavy yet reliably reacting to its round numbers, in this case 98.50 is the level the pair is pivoting from ahead of Tokyo.
Ascending trend-line looming...
From a technical perspective, the USD/JPY is getting closer to a recent ascending trend-line support coming from June 14, a dynamic tech cushion which has so far been tested in three occasions. According to bank sources, "there has been some very interesting bids sitting in the 20-30 window last couple of days in USDJPY..."
Bearish outlook for this week
Valeria Bednarik, Chief Analyst at FXstreet.com, judges the outlook as bearish short term as per continued lower lows and lower highs daily basis.
Bednarik notes: "The hourly chart shows moving averages converging above current price and indicators heading south below their midlines, supporting the bearish outlook: a key support stands around 97.70, post FOMC low and a daily ascendant trend line coming from 93.78: a break below the level should signal a stronger slide, with the 96.00 level as next big support to follow."
Ascending trend-line looming...
From a technical perspective, the USD/JPY is getting closer to a recent ascending trend-line support coming from June 14, a dynamic tech cushion which has so far been tested in three occasions. According to bank sources, "there has been some very interesting bids sitting in the 20-30 window last couple of days in USDJPY..."
Bearish outlook for this week
Valeria Bednarik, Chief Analyst at FXstreet.com, judges the outlook as bearish short term as per continued lower lows and lower highs daily basis.
Bednarik notes: "The hourly chart shows moving averages converging above current price and indicators heading south below their midlines, supporting the bearish outlook: a key support stands around 97.70, post FOMC low and a daily ascendant trend line coming from 93.78: a break below the level should signal a stronger slide, with the 96.00 level as next big support to follow."