FxWirePro: USD/JPY Rebounds, Critical Resistance at Lies Ahead
- The USD/JPY pair slipped towards 108.74 levels initially in the European session, however the pair rebounded back strongly gaining back all losses suffered earlier after the release of positive US housing data.
- Strong buying interest around 108.90 triggering a strong upward reversal in the pair as it rose to hit high at 109.70.
- Currently the pair is trading around 109.67 levels, a short dip towards 109.20 levels should be viewed as buying opportunities as the support level at 109.15 is set to hold the bears from falling further below and push the pair towards higher levels in the short term.
- Strong support can be seen at 109.05, a break below this level will expose the pair towards next support level located at 108.43 levels.
- Major resistance can be seen at 109.83, a break above this level will open the gates towards 110.00 levels. Resistance Levels R1: 109.83 (38.2% Retracement Level) R2: 110.00 (Psychological levels) R3: 110.29 (23.6% Retracement Level) Support Levels S1: 109.45 (Daily lows) S2: 109.05 (50% Retracement Level) S3: 108.43 (April 20th)