USDJPY portrays bullish consolidation beyond 200-SMA
USDJPY posted a three-week winning streak but ended Thursday on a negative note. That said, a convergence of 50-SMA and a seven-week-old horizontal area surrounding 145.00-145.10 restricts the immediate downside of the Yen pair. Following that, the early-month high of around 143.90 and the 200-SMA level of around 142.15 will act as the final defense of the buyers. In a case where the quote remains bearish past 142.15, as well as breaks the 142.00 round figure, the odds of witnessing a slump towards the 140.00 round figure and then to the late July swing of near 138.00 can’t be ruled out.
Alternatively, a corrective bounce in the USDJPY price could challenge the latest multi-month peak of around 146.60 before trying to restore the bull’s confidence by poking the previous support line stretched from July 28, around 146.80. In a case where the Yen buyers remain dominant past 146.80, the 150.00 round figure will be crucial to watch as the key upside hurdle, a break of which could allow the upside to aim for the previous yearly top surrounding 152.00.
Overall, the USDJPY buyers are taking a breather but not off the table as the key supports hold.
Alternatively, a corrective bounce in the USDJPY price could challenge the latest multi-month peak of around 146.60 before trying to restore the bull’s confidence by poking the previous support line stretched from July 28, around 146.80. In a case where the Yen buyers remain dominant past 146.80, the 150.00 round figure will be crucial to watch as the key upside hurdle, a break of which could allow the upside to aim for the previous yearly top surrounding 152.00.
Overall, the USDJPY buyers are taking a breather but not off the table as the key supports hold.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.