27, June 2014

USD/JPY (a 4-hour chart)

USD/JPY (a 4-hour chart)

General overview

The dollar/yen also fell after the weak U.S. economy release in the 1st quarter. However, technical factors showed a strong support that had allowed the price to return almost to their original positions. The political moment - Prime Minister Abe performance that was dedicated to the reform and the economic recovery, has not affected the market at all.

The price is finding the first support at 101.60, the next one is at 101.00. The price is finding the first resistance at 102.23, the next one is at 102.70. The price is in the Cloud and it is above the Chinkou Span. The downward movement will be until the price is under the Kijun-Sen. The MACD indicator is in a neutral territory.

Trading recommendations

The price is likely to go to the downward trend line 101.95 - 101.90

The approach to this line may lead to a price rebound down. The potential rebound target is the level of support 101.50