USD/JPY – 84.99

Most recent candlesticks pattern   : N/A
Trend                              : Down

Tenkan-Sen level          : 84.76
Kijun-Sen level                   : 84.71
Ichimoku cloud top                : 84.54
Ichimoku cloud bottom            : 84.25

New Strategy   :  

Stand aside

Despite intra-day brief fall to 84.38, as the greenback has staged a strong rebound from there partly due to risk appetite, suggesting near term upside bias remains for the rise from 83.58 low to bring a stronger retracement of recent decline to 85.30/35 (61.8% Fibonacci retracement of 86.39-83.58) and possibly towards resistance at 85.82, however, break there is needed to retain bullishness, otherwise, further choppy consolidation would take place.

On the downside, below said intra-day support at 84.38 would signal top has been formed, break of 84.25-27 (current level of Ichimoku cloud bottom and intra-day low) would confirm and then test of 84.05 support would follow. Looking ahead, once this support is penetrated, this would signal downtrend has resumed and bring retest of 83.58.

As near term outlook is mixed, we would stand aside for now.