-- The resistance that has been tested is at 113.22, as a key breakout now.
USD/JPY dipped below 113.00 today, but reversed
and started to retrace its losses. Now the pair is again below this
level and indicators on the four hour time frame had lost directional strength.
The price is developing below its moving averages and first resistance is
provided by the flat 100-day SMA at 113.06.
USD/JPY rebounded from 112.80 but for the moment has not broken out above the resistance at 113.40, the pair remains range-bound.
As seen on the four hour time frame, the
USD/JPY pair is struggling to preserve its early gains. The price is now
looking for direction around the flat 100-day SMA and the bearish 20-day SMA.
RSI and stochastic remain within negative territories, but both are
directionless. There are no obvious signs for upcoming steeper recovery, as the
pair will have to accelerate through 113.60 in order to enter into bullish
ground, while a break below 112.75 would enlarge the risk toward the downside.
USD/JPY broke below the 100-day and 200-day SMAs, as seen on the four
hour time frame and the last one is providing immediate resistance around
112.30 area, as bulls were unbale unable
to advance beyond it. RSI and stochastic have corrected from extremely negative
territories, but quickly resumed declines and still are developing in oversold
territory, keeping the risk towards the downside.