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USD/JPY: v.short-term trend is now up

Published 07/25/2014, 06:32 AM
Updated 07/07/2019, 08:10 AM

The break above the 101.59 highs signalled a reversal of the very short-term trend and was followed by a rally up to the upper border of the consolidation range at 101.90. The exchange rate is currently pushing up against the upper border-line and seems to want to break above it. For confirmation I would want to see a move above 102.13. This would be a very bullish sign, and would target the R1 monthly pivot at 102.31. The 200-day MA lies at 101.93, however, directly above the exchange rate's current level and is another obstacle to movement higher.


On longer time-frames the pair remains in an extended sideways movement, with mixed interpretations as to which direction it will breakout in, although the record low ADX on the weekly chart indicates a breakout is close at hand. A move above the 102.26 highs would be a bullish breakout sign whilst a move below 100.55 a bearish sign.
USDJPY25b

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