27, January 2014

USD/JPY (a 4-hour chart)

USD/JPY (a 4-hour chart)

General Overview

We recorded the Japanese currency growth versus the dollar. The stock markets decrease, first in Japan and then in the U.S. pushed the par down. The U.S. government bond yields decreased supported the falling as well.

The pair failed to hold above 104.05 and resumed a dynamic decrease, with a view to 102.23.

There is a confirmed and strong sell signal. Chinkou Span is below the price, the price is below the Ichimoku cloud. The southern movement remains until the price is below the Kijun-sen. Kijun-sen is crossing Tenkan-sen downwards.

Bollinger Bands indicator shows that a downward movement as its bands are expanded and directed downwards. MACD is decreasing, showing a sell signal.

Trading recommendations

The pair fell sharply on Thursday. We expect a rollback up to the level 103.80 now.