Japanese Yen Major Trendline at 7880 This Week
240 Minute Bars
Prepared by Jamie Saettele, CMT
The USDJPY had no problem with the 7730 level but was turned back by a Fibonacci extension confluence at 7780 (161.8% extensions of 7602-7680/7651 and 7651-7718/7670). Upside momentum is strong and new highs are favored. 7740/50 is now support and focus next week is the January high at 7828, which is also defined by the 261.8% extensions of the previously mentioned levels. The true test will be a long term trendline and 52 week average just under 7900.
Bottom Line – long, stop 7670, target open
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.