Chart USD/JPY Update: Consolidating - studies improving
Cautious trade around 158.25 has given way to a bounce
| Levels | Imp | Comment | Levels | Imp | Comment | |||
|---|---|---|---|---|---|---|---|---|
| R4 | 161.95 | ** | July 2024 (y) high | S1 | 158.00 | * | break level | |
| R3 | 160.00 | ** | congestion | S2 | 157.00 | congestion | ||
| R2 | 159.45 | * | 14 Jan YTD high | S3 | 156.00 | * | congestion | |
| R1 | 158.88 | ** | 10 January 2025 (y) high | S4 | 155.00 | * | break level |
Asterisk denotes strength of level
13:40 GMT - Cautious trade around 158.25 has given way to a bounce, as oversold intraday studies unwind, with prices currently pressuring resistance at the 158.88 year high of 10 January 2025. Overbought daily stochastics are unwinding, suggesting fresh consolidation around here. But the daily Tension Indicator is rising and broader weekly charts are improving, pointing to room for a later break. A close above here will help to improve price action and extend prices beyond the 159.45 current year high of 14 January towards 160.00. Meanwhile, a close below support at 158.00 would turn sentiment neutral and give way to consolidation above congestion around 157.00.