Weekly Forex Signals
JPY takes full advantage of worn-out USD
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LONG SIGNAL |
SHORT SIGNAL |
| USD/JPY |
- Buy a break of resistance level at 90.90
- Buy a break of resistance level at 91.80
- Buy a bounce at 89.80
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- Sell a break of support level at 89.80
- Sell a break of support level at 89.30
- Sell a failure of breaking the resistance 90.90
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Fundamental
The yen fell against all of its 16 major counterparts on prospects Federal Reserve Chairman Ben S. Bernanke will win a second term to pursue policies for spurring the economy, boosting demand for higher-yielding currencies. The yen slid versus the euro for the first time in eight days as a U.S. administration official said President Barack Obama got assurances from Senate leaders that Bernanke will be confirmed. Bank of Japan policy makers are prepared to consider expanding an emergency-loan program for banks and increasing purchases of government debt should the recovery falter, people with knowledge of the matter said.
Technical
U.S. Dollar fails to form a higher high and might continue its downtrend. Indicators show us a bearish market like RSI, which breaks 50% level and continues upwards, MACD, crosses the signal line pointing up and Bollinger band gives us a bullish signal by closing the candle above the upper band.
Trends
Primary Tendency (Daily Chart): The primary tendency is still in standard error channel.
Secondary Tendency (Four Hour Chart): The pair fails to make a higher high.
Minor Tendency (Hourly Chart): The Minor trend is in a clear downtrend.
Resistance
90.90
91.80
Support
89.80
89.30
Technical Indicators
Crossing of two moving averages and closing price of the candle is below the short-term moving averages.
RSI (Relative Strength Index) is in a downtrend.
MACD crosses the signal line pointing downwards.
Bollinger gives us a bearish signal after closing the candle below the lower band.
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Disclaimer: FINOTEC Trading's Market Commentaries are provided for informational purposes only. The information contained within these reports is gathered from reputable news sources and not intended as investment advice. FINOTEC Trading assumes no responsibility or liability from gains or losses incurred by the information herein.
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