Chart USD/JPY Update: Range trade - daily studies ticking higher
Little change, as mixed intraday studies keep near-term sentiment cautious and prompt further cautious trade within the relatively tight 159.00 - 159.50 range
| Levels | Imp | Comment | Levels | Imp | Comment | |||
|---|---|---|---|---|---|---|---|---|
| R4 | 161.00 | congestion | S1 | 159.00 | * | congestion | ||
| R3 | 160.60 | ** | 61.8% ret of Jul-Aug fall | S2 | 158.50 | * | range highs | |
| R2 | 160.00 | * | congestion | S3 | 158.00 | * | congestion | |
| R1 | 159.50 | * | congestion | S4 | 157.00 | ** | congestion |
Asterisk denotes strength of level
13:35 BST - Little change, as mixed intraday studies keep near-term sentiment cautious and prompt further cautious trade within the relatively tight 159.00 - 159.50 range. Daily stochastics have ticked higher once again and the daily Tension Indicator continues to rise, suggesting room for a test above congestion resistance at 159.50. But mixed weekly charts should limit scope in renewed selling interest/consolidation beneath further congestion around 160.00.
Meanwhile, support remains at congestion around 159.00. However, a close below 158.50 would add weight to sentiment and complete a short-term distribution pattern beneath 159.50. Focus would then turn to congestion around 158.00, ahead of strong support within the 156.60 - 157.00 range.