08, September 2014

USD/JPY (a 4-hour chart)

USD/JPY (a 4-hour chart)

The Japanese currency also fell against the dollar. However, news about the ECB decision significantly affected the USD/JPY positions. The United States economy good results news and U.S. Treasuries profitability growth supported the dollar.

The USD/JPY has tested the historical resistance level of 105.30 strength. The level retest was followed by the price bounce downward.

The price is finding the first support at 104.80, the next one is at 104.35. The price is finding the first resistance at 105.30, the next one is at 105.70.

There is a confirmed and a strong buy signal. The price is above the Cloud and it is above the Chinkou Span. The Tenkan-sen and the Kijun-sen show an upward movement. The upward movement will be until the price is above the Cloud.

The MACD indicator is in a positive territory. The price is correcting.

Trading recommendations

We suppose the pair will go to 104.80 first. If the price fixates, it may continue the upward trend in the short term.