30, October 2015

USD/JPY (a 4-hour chart)

USD/JPY (a 4-hour chart)

General overview

The Apple company positive report with the FOMC "pigeon rhetoric" supported the US stock market and today we may expect the upward trend continuation. Demand for the "risky assets" will put pressure on the yen as a funding currency.

The price is finding the first support at 121.60, the next one is 120.40. The resistance is at 122.40, the next one is at 123.50.

There is a strong and confirmed buy signal; the pair is above the Cloud. The Tenkan-sen and the Kijun-sen are horizontal. If the USD/JPY remains above the Cloud the growth will be continued.

The MACD indicator is in a positive territory now. The histogram is growing.

Trading recommendations

If the pair stays above the Cloud it has all chances to go to the level of 121.60. As an alternative scenario we will see a decrease to 119.20 and further to 118.40.