USD/JPY (a 4-hour chart)
The dollar fell 0.7% to 98.00 yen, moving away from the three-week high at 99.01.
The dollar has lost momentum after the initial growth in anticipation of the end of the financial impasse after the U.S. White House officials have already approved the transaction adopted by the Senate.
The deal gives only a temporary solution and it did not the problem itself – the budget deficits that Republicans and Democrats cannot solve.
USD/JPY has fallen, but it still remains in the price range. The support is expected at 97.40/30, the resistance is at 99.10.
The pair needs a break below the key support 96.60 and a break above the resistance level 99.10, to set its trading direction.
The price could fix below Chinkou-span, the pair is in the Ichimoku cloud, the buy signal is weak and confirmed.
The upward movement will remain if the price stays above 98.36e.
Bollinger Bands indicates the change of the trend.
The MACD is in a negative area right now.
The U.S. dollar falling has allowed the yen to strengthen its position, breaking and establishing itself below a particularly important mark 98.00. The trend remains bearish шn the medium-term, and at a minimum update of yesterday falling prices will continue to the support 97.50. The breakthrough and fixing below 97.50 opens the way to 97.00.