USD/JPY: correction will not last long

26 August, 2014

Current trend

On Monday the pair USD/JPY has hit eight-month highs at 104.27. The market is still under pressure of Janet Yellen’s speech. Head of US FRS mentioned, that if positive dynamics of US labour market remains the same, interest rates can be raised sooner than expected.

Today investors are waiting for the US fundamental stats: Durable Goods Orders and Consumer Confidence index. The latter can decline to the level of 89 point, but it is still pretty high comparing to the 2008 maximum of 90 points. Durable Goods Orders indicator can increase by 7.5% and support Dollar.

Support and resistance

The pair is being corrected to the lower MA of Bollinger Bands (103.65). This point could be a pivot one and the price will go up to the levels of 104.00, 104.27 and 104.50. Technical indicators predict downward movement. Bollinger Bands are directed sideways, MACD histogram is in positive zone, its volumes are decreasing. Stochastic lines don’t give clear signals.

Trading tips

Short-term sell positions can be opened at current price with target at 103.65. Pending orders to buy can be placed at the same level with take-profit around 104.50. 

Presented by LiteForex

USD/JPY recovers to 107 area

10-year US T-bond yield extends slide, drops below 2%. US Dollar Index stays calm near the 96 mark. Fed's Williams & Bostic, FOMC Chairman Powell...

Oscillates in a familiar trading range

The USD/JPY pair lacked any firm directional bias and seesawed between tepid gains/minor losses through the early European session on...

USD/JPY climbs to 1-week tops

Improving risk sentiment dents the JPY's relative safe-haven status. The USD remains supported by a solid rebound in the US bond yields. Focus now shifts...


USD/JPY backs away from highs

US Dollar Index retreats toward 97 area. Nikkei Manufacturing PMI in Japan improves slightly in March. Coming up: Retail sales and manufacturing...

USDJPY Jumps As UK Rejects No-Deal Brexit

The UK parliament rejected a no-deal Brexit on Thursday evening. This leads to speculation that the UK might formally ask the EU for an extension...

On Wednesday Yen slips in Asia

On Wednesday, the Japanese yen headed south versus its major peers because investor risk appetite improved during Asia trade, although worries...


USD/JPY keeps showing a negative trend

Since the beginning of the week, USD/JPY fell by 100 points. The currency pair is close to the round 109.000 with 109.550 acting as the closest...

USD/JPY started to grow after a long descent

Yesterday the quotes grew by 100 points and updated the local maximums. Right now the safe haven currency is consolidating and has good prospects...

USD/JPY in an aggressive sell-off

During the trading yesterday, the yen grew by more than 1% against the USD. The quotes reached 111.000 and can descend further. The local resistance...

  


Share it on:   or