USDJPY: Technical Analysis

Last week, USDJPY stalled at the March 2017 high of 115.505 and then pulled back 2 big numbers.

USD/JPY CHART

The sharp downside break has broken multiple short-term simple moving averages (SMA) and the previous low at 113.589. This level, as well as the 10, 21 and 34-day SMA are now potential resistance levels.

The 55, 100, 200, and 260-day SMAs are below price and have a positive gradient. This could indicate that short term bearish momentum is moving against medium to long term bullish momentum.

The sell-off stalled shortly before pivot point 113.004 and could provide support on retest. Previous lows and other pivots at 112.727, 112.079, 110.802, 109.113 and 108.723 are possible support levels.

AUDJPY: Technical Analysis

AUDJPY fell 2.7% on Friday last week.

AUD/JPY CHART

It broke two pivot points, the 100-day SMA broke the uptrend line and made a low of 80.482. The next day it did retrace itself to be above the trendline again, and the lack of continuation could indicate a false breakout.

The pivot points at 81.312 and 82.16 could provide resistance, as can the 100-day SMA, which is currently at 81.836. 82.16 is also in line with the 260-day SMA. Further the previous highs at 83.249, 84.162 and 86.261 are possible resistance levels.

On this descent, it broke the lower band of the Bollinger Band based on the 21-day moving average. A close within the lower band could indicate a pause in bearish sentiment.

However, having dipped below the 100-day SMA, AUDJPY is now below all short, medium and long-term SMAs. It also has a negative gradient on all SMAs except for the 200 and 260 day SMA. This may indicate the development of a bearish moment.

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The SMA group is between 82.160 and 83.139 and this zone may offer resistance.

On the other hand, previous lows at 80.482, 79.902, 78.846 and 77.897 are potential support levels.

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