USD/JPY Technical Analysis
Although the jpy succeeded in crossing the hurdle of 110.30 to the dollar and even reached the level of 111.34… And this big but closed the trading week below 110 level
Now the situation is not certain and we may have seen a false breakthrough here
If U.S.-China trade negotiations or U.S.-North Korea peace talks cancellations/ develop in a way that spooks investors further, then we might see the yen extend gains, jpy is perceived as very sensitive to developments on the following planes:
safe-haven demand sparked mainly by geopolitical risks, such as the political situation in Italy, the economic situation in Turkey, the apparent breakdown in North Korea denuclearization talks, trade-related concerns due to Trump’s
This week Governor Kuroda’s speech (May 30) Kuroda has already shared as late as last week that the BOJ “won’t end the ultra-easy policy before inflation reaches 2 percent.
Also, we need to watch at JPY pairs and benchmark U.S. 10-year bond yield
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| USD JPY ANALYSIS |
Technical analysis:
The trend is still bearish, as long as USD JPY stay below 109.70+_ resistance. Considering bullish convergence condition only decisive if there will be break adobe 109.60 it will indicate term reversal. In such case, outlook will be turned bullish. On the other hand, Break down last lows of 105.30 will confirm more lows to the 100.70+_ target price, minor resistance stay in 107.20 price area
now from the close look, you can see that in also in 2016 the pair broke down majors bands support but recover, there were a few false breaks – are we witness now the same situation but opposite?
if that the case then you should pay attention to those levels :
111.30 – a break above will confirm for more up moves
110.20-40
109.30-70
108.50 – break down will confirm for more down moves
107.20
106.40-70
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| JPY ANALYSIS |
This review does not including any document and / or file attached to it as an advice or recommendation to buy / sell securities and / or other advice