USDJPY: Turns Off Channel Resistance.
USDJPY: With an unsuccessful test of its channel resistance, USDJPY sold off sharply Thursday to close lower at 95.81. We retain our call for downside weakness while the pair maintains within its declining channel suggesting that weakness should shape up towards the 94.45 level, its Jun 01’09 low with a clearance of there leaving the pair aiming at the 93.89 level, its May 22’09 low. A clean violation of that level will call for the resumption of its declines initiated at the 101.43 level, its 2009 high. Resistance starts at the 96.80 level, marking its channel resistance with a turn above there exposing the 98.88 level, its Jun 05’09 high and then its May 07’09 high at 99.74. Beyond there if seen will trigger further upside towards its YTD high at 101.43. On the whole, USDJPY remains pressured to the downside while trading within its falling channel.
Support Comment
94.45 Jun’01’09 high
93.89 May 22’09 low
Resistance Comments
96.80 Channel resistance
98.88 Jun 05’06 high
99.73 May 07’09 high
This is an excerpt from FXT Technical Strategist Plus, a 7-currency model analysis. Take A One Week Free Trial here www.fxtechstrategy.com
This report is prepared solely for information and data purposes. Opinions, estimates and projections contained herein are those of FXTechstrategy.com own as of the date hereof and are subject to change without notice. The information and opinions contained herein have been compiled or arrived at from sources believed to be reliable but no representation or warranty, express or implied, is made as to their accuracy or completeness and neither the information nor the forecast shall be taken as a representation for which FXTechstrategy.com incurs any responsibility. FXTstrategy.com does not accept any liability whatsoever for any loss arising from any use of this report or its contents. This report is not construed as an offer to sell or solicitation of any offer to buy any of the currencies referred to in this report
