09, October 2013

USD/JPY (a 4-hour chart)

USD/JPY (a 4-hour chart)

General Overview

Japanese leader Shinzo Abe is satisfied with the initial performance of his economic plan, but acknowledges that the tough reforms are still ahead.

On Monday Japanese Prime Minister Shinzo Abe sought to win the trust of the Asia-Pacific business leaders in Japan's economic policy and promised to continue the growth and financial discipline.

Tenkan-Sen and Kijun-Sen are crossed in a descending "dead cross". Kijun-sen is moving in a horizontal direction parallel to the cloud, and the Tenkan-Sen continues to grow. The price is below the cloud. The Cloud is growing.

Bollinger Bands indicates that the downward movement continues, the bands widen and a directed downwards.
MACD is in a negative area.

Trading recommendations

The rebound from the oblique line of support has allowed USDJPY to correct upwards, returning back behind the resistance level 97.00.

To continue the growth the pair needs to break the downward trend line 97.20. In this case, our target is 97.60.