Chart USD/JPY Update: Lower in choppy trade - background studies under pressure
Consolidation beneath resistance at 154.50 has given way to a fresh pullback
| Levels | Imp | Comment | Levels | Imp | Comment | |||
|---|---|---|---|---|---|---|---|---|
| R4 | 156.00 | * | congestion | S1 | 152.90 | 8 Sep low | ||
| R3 | 155.00/25~ | ** | cong; 3 Aug (m) low | S2 | 152.00/10 | ** | 50% ret; 27 Jan YTD low | |
| R2 | 154.50 | minor congestion | S3 | 151.50 | * | congestion | ||
| R1 | 154.00 | * | congestion | S4 | 151.00 | congestion |
Asterisk denotes strength of level
13:55 BST - Consolidation beneath resistance at 154.50 has given way to a fresh pullback, with the break below 154.00 giving way to fresh consolidation around 153.50. Intraday studies are under pressure and daily readings are mixed/negative, suggesting room for continuation down to support at the 152.90 low of 8 September. However, flat oversold daily stochastics could limit any initial tests in fresh range trade, before bearish weekly charts prompt a break and extend late-July losses towards strong support at the 152.00 Fibonacci retracement and the 152.10 current year low of 27 January.
Meanwhile, resistance remains within the 154.00 - 154.50 range. A close above here is needed to improve price action and prompt a test of the 155.00 - 155.25 barrier.