Chart USD/JPY Update: Lower in both USD- and JPY-driven trade
Cautious trade has given way to a sharp pullback in both USD- and JPY-driven trade
| Levels | Imp | Comment | Levels | Imp | Comment | |||
|---|---|---|---|---|---|---|---|---|
| R4 | 150.92 | ** | 1 Aug (w) high | S1 | 147.00 | ** | range lows | |
| R3 | 150.00 | ** | congestion | S2 | 146.00 | ** | break level | |
| R2 | 149.00 | congestion | S3 | 145.00 | * | congestion | ||
| R1 | 148.00 | * | break level | S4 | 144.00 | * | congestion |
Asterisk denotes strength of level
14:00 BST - Cautious trade has given way to a sharp pullback in both USD- and JPY-driven trade, with the break below 148.00 approaching support at 147.00. Intraday studies are negative and daily readings have turned down, highlighting a deterioration in price action and room for further losses in the coming sessions. A break below 147.00 will open up 146.00. A further close beneath here would complete a multi-week distribution pattern beneath 149.00 and extend August losses towards 145.00. Meanwhile, resistance is lowered to 148.00. A close above here, if seen, will turn sentiment neutral and prompt consolidation beneath congestion around 149.00.