Chart USD/JPY Update: Room for a minor test higher
Cautious trade around 157.00 has given way to a push higher
| Levels | Imp | Comment | Levels | Imp | Comment | |||
|---|---|---|---|---|---|---|---|---|
| R4 | 160.00 | ** | congestion | S1 | 157.00 | break level | ||
| R3 | 159.00 | * | congestion | S2 | 156.00 | ** | congestion | |
| R2 | 158.00 | ** | congestion | S3 | 155.40 | ** | 61.8% ret of Feb-Mar rally | |
| R1 | 157.50 | ** | 19 Mar (w) low | S4 | 155.00 | ** | congestion |
Asterisk denotes strength of level
13:20 BST - Cautious trade around 157.00 has given way to a push higher, with prices reaching 157.50, where flat overbought intraday studies are prompting fresh consolidation. Daily stochastics are unwinding oversold areas and the daily Tension Indicator is turning higher, suggesting room for continuation towards congestion around 158.00. But negative weekly charts should limit any tests of here in renewed selling interest. Meanwhile, support is at 157.00. A break beneath here will turn sentiment neutral and give way to fresh consolidation above congestion around 156.00. Further slippage will open up the 155.40 Fibonacci retracement, with a close beneath here turning sentiment negative and extending late-April losses initially towards congestion around 155.00.