23, October 2014

USD/JPY (a 4-hour chart)

USD/JPY (a 4-hour chart)

General overview

The yen sales were caused by the price decrease on the Japan stock market where the Nikkei has lost about 2% .Then the technical factors and the US estate market sales strong data returned the pair growth - as a result the US dollar leveled the loss and got a slight "profit".

The Japanese economic data showed a further deficit growth. The pair USD/JPY intends to break the strong resistance level of 107.10 for the third time. The previous two strong resistance level of 107.35 tests were followed by the price rebound down.

The price is finding the first support at 107.10, the next one is at 106.70. The price is finding the first resistance at 107.60, the next one is at 108.00.

The price is in the Cloud and it is above the Chinkou Span. The Tenkan-sen and the Kijun-sen show an upward movement.

The MACD indicator is in a positive territory. The price is increasing.

Trading recommendations

After the trend line 107.10 breakthrough upwards the way to the resistance level of 107.60 is opened.