USDJPY edged higher on Friday but remains within 158.50/156.50 range that extends into seventh consecutive day.
Range top is reinforced by 200DMA, and 50% retracement of 163.94/152.88 descend, with the base of falling daily cloud in the zone adding pressure on near-term action.
On the other hand, the pair is on track for the fourth straight weekly gain, but mixed daily studies still lack clearer direction signals.
Upper boundary of the range is currently under pressure, with clear break of 158.50 zone to generate bullish signal, which will require confirmation on lift above 159.03 (Sep 24 lower top) to unmask targets at 159.50 (100DMA) and 160 (psychological), zone with increased risk of another intervention of Japan’s authorities.
Initial support lays at 157.30 (week’s low / 20DMA), violation of which to expose lower breakpoint at 156.50.
Res: 158.50; 159.03; 159.50; 159.72
Sup: 157.50; 157.30; 156.95; 156.50
