22, April 2015

USD/JPY (a 4-hour chart)

USD/JPY (a 4-hour chart)

General overview

The US stock market growth can encourage traders to open long positions in the Tokyo stock market which is a bullish factor for the pair.

In the "black gold" market traders are increasing "longs" on the quotations decline to the support level of 63.15 with the Brent crude oil which indicates the continued upward trend which is a bearish factor for the US dollar.

The price is finding the first support at 119.20, the next one is at 118.30. The price is finding the first resistance at 120.40, the next one is at 121.60.

There is a confirmed and a weak sell signal. The price is under the Cloud and it is under the Chinkou Span. The Tenkan-sen shows an upward movement and the Kijun-sen shows a horizontal movement and form a “Golden Cross”. The downward movement will be until the price is under the Cloud.

The MACD indicator is in a neutral territory. The price is correcting.

Trading recommendations

If the price fixates above the resistance level of 120.40, it may continue the upward trend in the short term. The potential targets are 121.60 and 122.40.