19, March 2014

USD/JPY (a 4-hour chart)

USD/JPY (a 4-hour chart)

General Overview

The Japanese yen fell down versus the dollar yesterday. Some complacency on the geopolitical events and a slight increase in yield of the U.S. "Treasuries" regained popularity in the side of the U.S. currency. Obviously, the yen will remain in the low-activity and will experience some buying pressure, because risk appetite is still not stable, besides the profit repatriation by Japanese corporations continues, and it will support the Japanese currency.

The support is 101.00. The first resistance is 101.60, the next one- 102.23.

The pair is falling. Kijun-sen and Tenkan-sen are horizontal. The southern movement is strong. The cloud is neutral. The southern movement remains until Kijun-Sen is above the price.

Trading recommendations

The corrective dollar growth has allowed the price to break and consolidate above the strong resistance level 101.60. Ahead there is a strong trend line 102.23.

The retest of the 102.23 mark may lead to continuation of the bearish wave.