USD/JPY Kisses July High Goodbye; Possible Headwinds at 102.52-103.15
Chart Prepared by Jamie Saettele, CMT using Marketscope 2.0
-USDJPY has broken above the trendline that extends off of the Jul and Sep highs and re-tested the line as support on 11/19.
-The push through the Jul high of 101.52 shifts focus towards the 5/29 high of 102.52, and 5/22 close of 103.15.
-Price held the consolidation zone of 100.95-101.35, registering low at 101.14 in late Tuesday trading.
Trading Strategy: I am long (trigger was 99.85). Stop is tightened to 101.10. The first target is 103 but be aware of possible resistance at 102.52 (5/29 high). If the Yen trade falls apart (possible given COT figures), then the AUDJPY short will do well.
LEVELS: 101.14 101.65 101.90 | 102.52 103.15 103.73
--- Written by Jamie Saettele, CMT, Senior Technical Strategist for DailyFX.com
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.