Chart USD/JPY Update: Cautious trade
The anticipated break below 147.00 has bounced from 146.65
| Levels | Imp | Comment | Levels | Imp | Comment | |||
|---|---|---|---|---|---|---|---|---|
| R4 | 151.50 | ** | 61.8% ret of Jan-Apr fall | S1 | 147.00 | congestion | ||
| R3 | 151.20 | ** | 28 Mar (w) high | S2 | 146.00 | * | break level | |
| R2 | 150.00 | ** | congestion | S3 | 145.00 | * | congestion | |
| R1 | 148.00 | ** | break level | S4 | 144.00 | * | congestion |
Asterisk denotes strength of level
14:00 BST - The anticipated break below 147.00 has bounced from 146.65, as oversold intraday studies unwind, with the break back above 147.00 reaching 147.50. A test ofr resistance at 148.00 cannot be ruled out. But negative daily readings and a tick lower in overbought weekly stochastics are expected to limit scope in renewed selling interest beneath congestion resistance at 150.00. Meanwhile, support remains at congestion around 147.00. A break back beneath here will open up 146.00. But any immediate tests should be limited in consolidation. A break, however, will add weight to sentiment and confirm a deeper pullback from the 150.90~ weekly high of 1 August.