USDJPY: With a strong rally seeing the pair continuing its past week upside offensive, further strength is likely in the days ahead. This leaves its big psycho level at 100.00 level as the next upside target were respite may occur and turn it lower. If this fails to happen expect more upside gains towards the 101.00 level. Further out, resistance resides at the 102.00 level. Its daily RSI is bullish and pointing higher supporting this view. As long as it holds above the 94.45 level this view remains valid. On the downside, support lies at the 97.82 level where a violation if seen will call for a move lower towards the 96.70 level and then the 96.00 level. All in all, USDJPY remains biased to the upside in the medium term.
USD/JPY DAILY as of Tuesday, 09 April, 2013
A Daily white body has formed yesterday.A Daily rising window has formed (where the top of the previous shadow is below the bottom of the current shadow). This usually implies a continuation of a bullish trend.Three Daily white candles has formed during the last three Daily bars. Although these candles were not big enough to create threeDaily white soldiers, the steady upward pattern is bullish.
Stochastic triggered a Buy signal 3 days ago.
The RSI has just reached its highest value in the last 14 period(s). This is BULLISHsignal.
SAR signal was a Buy 3 days ago.
The close is currently
ABOVE its 200 daily moving average
ABOVE its 50 daily moving average
ABOVE its 20 daily moving average
The current market condition for US Dollar / Japanese Yen is Very Bullish
On 08/04/2013, US Dollar / Japanese Yen closed above the upper Bollinger Band by 19.8%. Bollinger Bands are 83.65% wider than normal. The large width of the Bollinger Bands suggest high volatility as compared to US Dollar / Japanese Yen's normal range. Therefore, the probability of volatility decreasing and prices entering (or remaining in) a trading range has increased for the near-term. The Bollinger bands have been in this wide range for 3 days. The probability of prices consolidating into a less volatile trading range increases the longer the Bollinger Bands remain in this wide range.
Long USD/JPY with a Buy-Stop at 98.545