HomeContributorsTechnical AnalysisTechnical Outlook: USDJPY – Hourly Cloud To Contain Corrective Dips

Technical Outlook: USDJPY – Hourly Cloud To Contain Corrective Dips

The pair probes below initial support at 113.37, provided by daily cloud top after Monday’s action posted marginally higher high at 113.68 (against Friday’s high at 113.58), but unable to sustain gains.

Strong rally on Thu/Fri generated bullish signal on close above daily cloud top, but corrective easing is signaled by reversal of RSI / slow stochastic from overbought zone on 4-hr chart.

Thick hourly cloud (spanned between 113.25 and 112.80) marks solid support which is expected to contain correction before broader bulls resume.

Hourly cloud base is reinforced by converged 30/55 SMA’s and should limit extended corrective dips.

Bulls eye initial target at 113.81 (Fibo 76.4% of 114.73/110.83 descend), ahead of recent peaks at 114.45/73 (the highest since March and marking the ceiling of broader 114.73/107.31 range).

Res: 113.68, 113.81, 114.45, 114.73
Sup: 113.25, 112.80, 112.52, 112.34

Windsor Brokers Ltd
Windsor Brokers Ltdhttp://www.windsorbrokers.com/
The information contained in this document was obtained from sources believed to be reliable, but its accuracy or completeness cannot be guaranteed. Any opinions expressed herein are in good faith, but are subject to change without notice. No liability accepted whatsoever for any direct or consequential loss arising from the use of this document.

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