Forex Marketz Daily Forex News – Fully Markets Update
USD/JPY (¥116.517)
- Resistance Levels: 117.80, 119.05, 120.30
- Support Levels: 116.30, 115.40, 113.80
The almighty buck, better known as the U.S. Dollar, is now vulnerable against the yen. We are seeing it lose momentum as we are noting the RSI showing a negative divergence.
Please refer to the above MT 4 chart. Near term support is at 116.30, a daily close below this level will challenge 115.40 then 113.80. Should we see the USD/JPY start to push higher, then we need a daily close above 117.80 to test the next technical level at 119.05. We need 119.05 to crack to shoot above 120.
Let’s chat trading strategy. Okay, we have RSI divergence, but this is not a key reversal signal. I would want more of a bearish confirmation before entering short trades. Noting the ebbing momentum higher, I am also hesitant to take on long positions. This means that I am sitting on the sidelines a bit longer.
As always, trading strategies are for educational purposes and do not constitute trading advice. Please, always do your own technical analysis to support mine.
