24, December 2015

USD/JPY (a 4-hour chart)

USD/JPY (a 4-hour chart)

General overview

The Japanese economic calendar was empty due to the public holiday. The market focused on the US durable goods basic orders and the new home sales data in November 490K against the forecasted 505K and -0,1% (m/m) against the forecasted 0,1%(m/m) respectively.

The first support resides at 120.40, the next one is 119.20. The first resistance stands at 121.30, the next one is at 122.40.

There is a confirmed and a strong sell signal. The price is under the Cloud and it is above the Chinkou Span. The Tenkan-sen shows a downward movement and the Kijun-sen shows a horizontal movement, and form a “Dead Cross”. The downward movement will be until the price is under the Cloud.

The MACD indicator is in a negative territory. The price is decreasing.

Trading recommendations

When the price consolidates it may go to the level 120.40. The way to the mark 119.20 will be opened after this breakthrough.