Chart USD/JPY Update: Choppy at year highs
The anticipated break below 159.00 has bounced smartly from 158.55~
| Levels | Imp | Comment | Levels | Imp | Comment | |||
|---|---|---|---|---|---|---|---|---|
| R4 | 163.95 | ** | December 1986 high | S1 | 159.00 | * | congestion | |
| R3 | 160.40 | ** | April 1990 (y) high | S2 | 158.00 | * | break level | |
| R2 | 160.00 | ** | historic congestion | S3 | 157.00 | congestion | ||
| R1 | 159.75 | ** | 13 Mar YTD high | S4 | 156.45 | * | 4 Mar low |
Asterisk denotes strength of level
14:40 GMT - The anticipated break below 159.00 has bounced smartly from 158.55~, as intraday studies track higher, with prices currently trading around 159.50. Immediate focus is on the 159.75 current year high of 13 March and historic congestion around 160.00. But negative daily readings should limit any initial tests in consolidation, before rising weekly charts prompt further gains. However, a close above critical resistance at the 160.40 year high of April 1990 is needed to turn sentiment positive and extend long-term bullish trends. Meanwhile, any fresh tests below congestion support at 159.00 should give way to consolidation above 158.00.