USD/JPY Eyeing Break Of 105.40 Barrier With Bearish Candles Lacking
- USD/JPY Technical Strategy: Pending Long
- Awaiting Push Past 105.40 Barrier With Reversal Signals Lacking
- Intraday Trade Suggests Upside Momentum May Be Waning
USD/JPY’s battle to take the 105.40 barrier continues with a lack of reversal signals casting doubt on the potential for a severe correction. Against the backdrop of a sustained uptrend buying shallow dips or a breakout is preferred. Clearance of the noteworthy hurdle would set the scene for an assault on the psychologically-significant 106.00 handle.
Daily Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
Intraday price action on the four hour chart denotes deliberation amongst traders. The medley of short body candles and Doji patterns does little to inspire confidence that the bulls can mount a successful attempt to clear the 105.28-105.65 congestion zone.
USD/JPY: Bulls Lacking Vigor As Congestion Zone Looms Overhead
Four Hour Chart - Created Using FXCM Marketscope 2.0,Volume Indicator Available Here
By David de Ferranti, Currency Analyst, DailyFX
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