12, October 2016

USD/JPY (a 4-hour chart)

General overview

The dollar strengthened across the board due to the possibilities of an eventual Fed rate-hike in 2016.

Current situation

The pair remained positive on Tuesday. The prices hold onto recent gains, struggling with the 104.00 resistance level. The USD/JPY continues developing well above the 50, 100 and 200 EMAs. The moving averages direction is upwards. The resistance can be found at 104.30, the support comes in at 103.50.

MACD is in the positive area. The histogram decreased which indicates the buyers’ weakening. The RSI oscillator moved downwards from the overbought area.

Trading recommendations

There is a potential for a roll back towards 103.00 due to the absence of strong drivers. The price will move down if the level 104.00 holds.