25, June 2015

USD/JPY (a 4-hour chart)

USD/JPY (a 4-hour chart)

General overview

The bulls dominate. There was the price growth two consecutive days at the world's leading stock exchanges which indicates the investors' risk appetite presence. There has been the Japan and the US government bond yields negative differential expansion since the beginning of the week that is a bullish factor for the dollar.

The price is finding the first support at 123.50, the next one is at 122.40. The price is finding the first resistance at 124.30, the next one is at 125.50.

The price is in the Cloud and it is under the Chinkou Span. The Tenkan-sen and the Kijun-sen show an upward movement and form a “Golden Cross”.

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

Trading recommendations

We suppose the pair will go to 123.50 first. Having overcome the first target the price might go downwards to 122.40.