Chart USD/JPY Update: Pushing higher in USD- and JPY-driven trade
Consolidation is giving way to the anticipated push higher
| Levels | Imp | Comment | Levels | Imp | Comment | |||
|---|---|---|---|---|---|---|---|---|
| R4 | 159.75 | ** | 61.8% ret of Jul-Sep fall | S1 | 157.00 | congestion | ||
| R3 | 159.00 | * | congestion | S2 | 156.00 | * | congestion | |
| R2 | 158.40 | ** | 50% ret of Jul-Sep fall | S3 | 155.00 | * | congestion | |
| R1 | 158.00 | ** | congestion | S4 | 154.50 | minor congestion |
Asterisk denotes strength of level
14:00 BST - Consolidation is giving way to the anticipated push higher, with prices currently pressuring congestion resistance at 158.00 in both USD- and JPY-driven trade. Rising intraday and daily studies highlight room for a break and continuation of September gains towards the 158.40 Fibonacci retracement. However, already overbought daily stochastics and mixed weekly charts could limit any initial tests in profit-taking/consolidation, before any further gains are seen.
Meanwhile, support remains at congestion around 157.00. A close beneath here, not seen, will help to stabilise sentiment and prompt consolidation above congestion support at 156.00.