29, September 2016

USD/JPY (a 4-hour chart)

General overview

The dollar rose on Wednesday due to profit fixation and was supported by the positive sentiment after the election debates.

Current situation

The pair had a neutral day on Wednesday. The dollar made an attempt to recover which was stopped at 100.80. The price spent the day a few pips above the current support – 100.40. The 50-EMA stopped the correctional growth. The price touched the line and slightly rolled back. The 50, 100 and 200 EMAs present a strong bearish slope. All moving averages kept heading lower. The resistance is at 101.40, the support comes in at 100.40.

MACD is in the negative area. MACD grew which indicates the sellers’ positions weakening. RSI is within the neutral territory.

Trading recommendations

We are looking for the 100.40 support break and then continuation of a fall with a further target at 100.00.