Chart USD/JPY Update: Room for higher in JPY-driven trade
The steady bounce following the retest of support within the 156.60 - 157.00 range has reached resistance at 158.50 in JPY-driven trade
| Levels | Imp | Comment | Levels | Imp | Comment | |||
|---|---|---|---|---|---|---|---|---|
| R4 | 160.00 | * | congestion | S1 | 158.00 | * | congestion | |
| R3 | 159.50 | * | congestion | S2 | 157.00 | ** | congestion | |
| R2 | 159.00 | * | congestion | S3 | 156.60 | ** | 61.8% ret of Jan-Jul rally | |
| R1 | 158.50 | * | recent highs | S4 | 156.00 | congestion |
Asterisk denotes strength of level
12:40 BST - The steady bounce following the retest of support within the 156.60 - 157.00 range has reached resistance at 158.50 in JPY-driven trade. Intraday studies are rising and oversold daily stochastics are also turning up, suggesting room for a break above here towards congestion around 159.00. However, the negative daily Tension Indicator and bearish weekly charts should limit any further gains in renewed selling interest beneath congestion around 160.00. Meanwhile, support is at congestion around 158.00. A close beneath here would add weight to sentiment. But a close below the 156.60 - 157.00 range is needed to turn sentiment negative and put focus back on 154.80 - 155.00.