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Japanese Yen Holds 107.50

By Sam Shenker
10 June 2005 05:42 GMT
A move to the downside by the yen bulls will most likely be capped by 104.00 figure thus establishing a triple bottom reversal. Indicators signal trend reversal, with ADX (DMI) dropping to 21.70. Stochastic is sloping downward on the daily chart at 27.30, supporting a view that a trend might be weakening. The Stochastic on the 4-hour chart is treading above the overbought line at 83.19, thus providing dollar bulls with a chance to mount a counterattack. RSI is neutral at 52.95 on the daily chart, with dealer (4HR) chart RSI is neutral at 60.20. MACD has made a bearish crossover above the zero line on the daily chart, with MACD on the 4-hour chart is pointing upwards toward the zero line. If the yen bulls retreat, a move to the upside will most likely see the USD/JPY rocket through 109.00 and target the 110.00 figure, with a breakout targeting the 115.00.

 
Key Levels

Level
Resistance
Details
108.88
Major
2005 High
108.27
Intermediate
May 26 daily spike high
107.74
Minor
23.6 Fib of the 104.17-108.85 USD rally
Level
Support
Details
107.06
Minor
38.2 Fib of the 104.17-108.85 USD rally
106.51
Intermediate
50.0 Fib of the 104.17-108.85 USD rally
105.96
Major
61.8 Fib of the 104.17-108.85 USD rally

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10 June 2005 05:42 GMT