USD/JPY (a 4-hour chart)
The unemployment rate decreased in June which in comparison with the May data of 4.1% in June was 3.9%. Nikkei 225 index increased by 1.53% in Japan. In this regard, risk appetites are increased, prompting investors to leave the yen as a safe currency.
In addition, in connection with the data on pending home sales that topped expectations late Monday the U.S. currency strengthened.
The U.S. dollar index continues to keep the pressure up, with an emphasis in resistance at 81.82.
The immediate support for the market can serve as a lower limit of the cloud, the line Senkou Span A, and then the 96.55 level. Kijun-Sen and Tenkan-Sen are crossed forming a "golden cross." However, both trend lines are moving up rapidly towards each other. Cloud is falling.
Location prices in the cloud indicates the general character of the lateral movement of the market. The
Chinkou Span is below the price, which confirms the current sell signal and indicates a bearish market sentiment of the pair.
Bollinger Bands follow the price down. The indicator shows a high volatility.
MACD is declining.
The pair USD - JPY continues to be under pressure and below the key resistance level.
We recommend "short" orders below the reference point 98.4, focusing on support levels 97.6 and 97.2.
Above 98.4, you can wait from the pair further movement up the resistance at 99 and 99.35.