14, August 2014

USD/JPY (a 4-hour chart)

USD/JPY (a 4-hour chart)

General Overview

The Japanese currency fell slightly against the dollar, but the American session leveled losses and closed trades with a very minor flaw. The reason for the risk aversion could become - a lack of optimism in the stock market, the United States and the uncertainty in the events market debt of the American government.

The yesterday trading was at low volatility. The short-term resistance level of 102.25 break was short-lived. The reverse return was followed by a slight increase of the dollar against the backdrop of negative data on the JPY.

The price is finding the first support at 102.23, the next one is at 101.60. The price is finding the first resistance at 102.60, the next one is at 102.60.

There is a confirmed and weak sell signal. The price is in the Cloud and it is above the Chinkou Span. The Tenkan-sen and the Kijun-sen are neutral. The downward movement will be until the price is below the Cloud.

The MACD indicator is in a negative territory.

Trading recommendations

We expect a rebound down. The potential target rebound is a strong support level of 101.60.