Forex: USD/JPY Technical Analysis – Key Support Above 103.00
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- USD/JPY Technical Strategy: Long at 102.82
- Support:103.25 (Mar 10 close), 102. 62 (horizontal pivot)
- Resistance: 104.14 (38.2% Fib exp.), 105.19 (50% Fib exp.)
We entered long the US Dollar against the Japanese Yen at 102.82 after prices recovered as expected having completed a Triangle chart pattern and booked partial profits just below the 104.00 figure. Prices recoiled sharply lower from 104.14, the 38.2% Fibonacci expansion, to test a resistance-turned-support at 103.25. A break below this boundary would expose a horizontal pivot at 102.62. Alternatively, a reversal above resistance targets the 50% level at 105.19. We have revised the stop-loss on the remainder of our long position to the breakeven level (102.82) and will allow the trade to remain active for the time being.
Daily Chart - Created Using FXCM Marketscope 2.0
--- Written by Ilya Spivak, Currency Strategist for DailyFX.com