Japanese Yen: USD/JPY (JPY=X) holds key resistance
USDJPY remains of interest for bearish USD-themes. The pair has held a big zone of resistance over the past two weeks as the USD fireworks have been on full display. As strength has returned to the Dollar over the past week, USDJPY has appeared immune as price action has continued to range; highlighting the fact that the Yen has also been pretty strong over that same period of time.
This sets up the pair for interesting scenarios should USD-weakness show-up. That Yen-strength could be coupled with a falling US Dollar to look for fresh lows in the pair. The big area of interest for that next show of support appears to be around the 107-handle.
Overall, the bias in prices is: Downwards.
By the way, prices are vulnerable to a correction towards 109.81.
The projected upper bound is: 108.95.
The projected lower bound is: 107.07.
The projected closing price is: 108.01.
During the past 10 bars, there have been 3 white candles and 6 black candles for a net of 3 black candles. During the past 50 bars, there have been 21 white candles and 28 black candles for a net of 7 black candles.
A doji star occurred (where a doji gaps above or below the previous candle). This often signals a reversal with confirmation occurring on the next bar.
Momentum is a general term used to describe the speed at which prices move over a given time period. Generally, changes in momentum tend to lead to changes in prices. This expert shows the current values of four popular momentum indicators.
One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 33.4763. This is not an overbought or oversold reading. The last signal was a buy 10 period(s) ago.
Relative Strength Index (RSI)
The RSI shows overbought (above 70) and oversold (below 30) areas. The current value of the RSI is 33.37. This is not a topping or bottoming area. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a buy 11 period(s) ago.
Commodity Channel Index (CCI)
The CCI shows overbought (above 100) and oversold (below -100) areas. The current value of the CCI is -123.This is an oversold reading. However, a signal isn’t generated until the indicator crosses above -100. The last signal was a buy 10 period(s) ago.
The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a buy 6 period(s) ago.
Rex Takasugi – TD Profile
FOREX JPY= closed down -0.010 at 108.080. Volume was 93% below average (consolidating) and Bollinger Bands were 11% narrower than normal.
Open High Low Close Volume___
108.080 108.120 108.000 108.080 5,831
Short Term: Neutral
Intermediate Term: Bearish
Long Term: Bearish
Moving Averages: 10-period 50-period 200-period
Close: 108.37 110.00 111.17
Volatility: 3 5 7
Volume: 78,470 86,456 99,468
Short-term traders should pay closer attention to buy/sell arrows while intermediate/long-term traders should place greater emphasis on the Bullish or Bearish trend reflected in the lower ribbon.
FOREX JPY= is currently 2.8% below its 200-period moving average and is in an downward trend. Volatility is extremely low when compared to the average volatility over the last 10 periods. There is a good possibility that there will be an increase in volatility along with sharp price fluctuations in the near future. Our volume indicators reflect volume flowing into and out of JPY= at a relatively equal pace (neutral). Our trend forecasting oscillators are currently bearish on JPY= and have had this outlook for the last 33 periods.