Chart USD/JPY Update: Consolidating sharp losses - room for a test lower
The test of congestion resistance at 157.50 has been sharply rejected
| Levels | Imp | Comment | Levels | Imp | Comment | |||
|---|---|---|---|---|---|---|---|---|
| R4 | 159.45 | * | 14 Jan YTD high | S1 | 156.00 | * | congestion | |
| R3 | 159.00 | * | congestion | S2 | 155.00 | * | break level | |
| R2 | 158.00 | * | break level | S3 | 154.00 | * | congestion | |
| R1 | 157.50 | * | congestion | S4 | 152.10~ | ** | 27 Jan YTD low |
Asterisk denotes strength of level
09:25 GMT - The test of congestion resistance at 157.50 has been sharply rejected, with prices falling to 156.20 before consolidating around 156.50. Intraday studies are under pressure, and overbought daily stochastics are flattening, suggesting room for further losses towards congestion support at 156.00. But the rising daily Tension Indicator and mixed weekly charts should limit any immediate tests beneath here in renewed consolidation above 155.00. Meanwhile, resistance remains at 157.50 and extends to 158.00. A close above here, if seen, will open up a test of critical resistance within congestion around 159.00 and the 159.45 current year high of 14 January.