29 June 2009
USD/JPY technical analysis
A price growth continued with tested level of 1.6550/60 and now, rolled back down, staying near the marks of 1.6490/80. Indicators setting keeps signify uncertainty by its horizontal movement, only R% directed upward and trying to get back in overbuying zone, SS and MACD show us neutrality. Obviously this can be viewed as uncertainty of the market and we can suggest about continuation of bidding consolidation in a range limited by levels of 1.6540 – 1.6420. Resistance breakdown of this corridor unlikely, but it happens; growth will be limited by levels of 1.6600/20, for the reason of strong resistances in this area. In the same time fall down below 1.6400/10 also seems to be very doubtful because of strong support on a trend line of upper channel (green lines). However if it will happen, a strong arguments will appear to suggest a test of supports to 1.6280/90 and 1.6210/00, with simultaneously risk of cardinal changes, which supposed more extended lowering, probably to a 1.5800/10.
Analysis prepared by:
Arkady Nagiev
Forex4you analyst
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