28, August 2014

USD/JPY (a 4-hour chart)

USD/JPY (a 4-hour chart)

General overview

The dollar/yen spent the yesterday trading in the differently directed movement. The investors bought the yen amid the falling Japan stock market and then it was sold under the United States economy good data influence.

The Japanese currency was traded against the dollar within a narrow range. The historical resistance level of 104.00 was tested. Because the fact that the testing occurred at the lower volumes, the buyers did not manage to consolidate above the level of 104.00.

The price is finding the first support at 103.70, the next one is at 103.30. The price is finding the first resistance at 104.00, the next one is at 104.35.

There is a confirmed and a strong buy signal. The price is above the Cloud and it is above the Chinkou Span. The Tenkan-sen and the Kijun-sen show a horizontal movement. The upward movement will be until the price is above the Cloud.

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

Trading recommendations

The potential growth targets are the resistance levels: 104.00, 104.35.