USD/JPY Technical Analysis – Attempting Cautious Upswing
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- USD/JPY Technical Strategy: Flat
- Support: 101.72 (channel bottom), 101.97-101.32 (range floor)
- Resistance: 102.35 (May 13 high), 102.71 (Apr 22 high)
The US Dollar is attempting to build upward against the Japanese Yen after putting in a bullish Piercing Line candlestick pattern. Near-term resistance is at 102.35, the May 13 high, with a break above that on a daily closing basis exposing the April 22 top at 102.71. Support lines up at the bottom of a rising channel set from mid-May, now at 101.72. A reversal below exposes range bottom support in the 100.97-101.32 area.
Current positioning does not offer an actionable trade setup. We will opt to remain on the sidelines for the time being, waiting for a more attractive opportunity to present itself.
Daily Chart - Created Using FXCM Marketscope 2.0
--- Written by Ilya Spivak, Currency Strategist for DailyFX.com
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.