FX September 24, 2021 / 12:49 pm UTC

Chart USD/JPY Update: Critical resistance at 110.80

By Mike Macdonald




LevelsImpComment

LevelsImpComment
R4111.66**2 Jul YTD high
S1110.00*congestion
R3111.00*break level
S2109.73
23 Sep low
R2110.80**11 Aug (m) high
S3109.50*congestion
R1110.50/59*congestion;
23 Jul (w) high

S4109.20**76.4% ret of Aug rally

Asterisk denotes strength of level


13:25 BST - The bounce from 109.12/20 continues to extend, with the break above 110.00 now pressuring 110.50. Daily stochastics and the Tension Indicator continue to strengthen, highlighting scope for a test of the 110.80 monthly high of 11 August. But overbought intraday studies are expected to limit any initial tests in fresh consolidation. A close above here, however, will turn sentiment outright positive and confirm continuation of August gains, initially to congestion around 111.00. Meanwhile, support is raised to 110.00 and should underpin any immediate setbacks.

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