The pair failed to hold above the 1.4150 last week and is now heading towards the lower extent of the range. Support should be found at 1.3940, 1.3900 and beyond that 1.3800. A move beyond 1.3800 would point to a more complete correction.

With the daily average range hovering in the 200 pip range a move far beyond this level is not highly likely today.

On the bullish side an indicator pattern has occurred which indicates a short term low may be in place. The pattern indicates a test of the highs in the 1.4150 area. A move far beyond this is unlikely today. Interim resistance is likely to be found at 1.4000, 1.4055, 1.4080 and 1.4120.

USD/JPY Multiple Patterns

On the longer term charts there are several technical factors coming into play. The next few days could be pivotal in the longer term direction of the pair.

Support today should be found by 98.05 and 97.80 in early trading. Beyond that 97.55.

Currently the pair is pushing higher after an early fall. Watch for a test of the highs at 98.55, the 98.70 and 99.00.

Analysis by: http://www.Forexpros.com - Written by Cory Mitchell

Forexpros offers the most definitive Forex portal on the web. It contains industry leading market analysis, up-to-the minute news and advanced trading
tools which provides brokers, traders and everyone involved in the financial market with an all-round guide to Forex.

Disclaimer: Trading Futures and Options on Futures and Cash Forex transactions involves substantial risk of loss and may not be suitable for all investors. You should carefully consider whether trading is suitable for you in light of your circumstances, knowledge, and financial resources. You may lose all or more of your initial investment. Opinions, market data, and recommendations are subject to change at any time.

ForexPros Archive

Only logged in users are allowed to post comments. Register/ Log in

The Market Oracle is a FREE Financial Markets Forecasting & Analysis web-site.
(c) 2005-2024 MarketOracle.co.uk (Market Oracle Ltd) - Market Oracle Ltd asserts copyright on all articles authored by our editorial team and all comments posted. Any and all information provided within the web-site, is for general information purposes only and Market Oracle Ltd do not warrant the accuracy, timeliness or suitability of any information provided on this site. nor is or shall be deemed to constitute, financial or any other advice or recommendation by us. and are also not meant to be investment advice or solicitation or recommendation to establish market positions. We do not give investment advice and our comments are an expression of opinion only and should not be construed in any manner whatsoever as recommendations to enter into a market position either stock, option, futures contract, bonds, commodity or any other financial instrument at any time. We recommend that independent professional advice is obtained before you make any investment or trading decisions. By using this site you agree to this sites Terms of Use. From time to time we promote or endorse certain products / services that we believe are worthy of your time and attention. In return for that endorsement and only in the cases where you purchase directly though us may we be compensated by the producers of those products.