02, June 2016

USD/JPY (a 4-hour chart)

USD/JPY (a 4-hour chart)

General overview

The dollar fell against the yen, decreasing from one-month high reached earlier this week. The mixed US economic data lowered expectations of a soon USA interest rates recovery.

Current situation

The pair USD/JPY decreased. The price bounced off a daily resistance at 111.40. The pair approached the level of 109.00. After testing it, the pair bounced up and returned some of the losses. The resistance is at the level of 109.80, the support is at 109.00.

MACD is in a negative area. The histogram is below the signal line. MACD crossed the zero line downwards. MACD kept decreasing. The signal is bearish. RSI approached the overbought level of 70 and rebounded downwards.

Trading recommendations

We suppose the pair will go to 109.00 first. Having overcome the first target the price might go downwards to 108.20.