Japanese Yen: USD/JPY (JPY=X) is expected to trade with a positive bias but 112.60 could be out of reach
The ‘sideway-trading phase’ in USD that started in late March has ended as it hit a high of 112.09 last Friday before closing at a 4-month high of 112.02. The price action suggests the current USD strength could extend further in the coming days even though the major 112.60 resistance could be out of reach. All in, we expect USD to trade with a positive bias and only a break of the 111.20 ‘key support’ would suggest that the current ‘positive phase’ in USD has ended.
Overall, the bias in prices is: Sideways.
By the way, prices are vulnerable to a correction towards 111.00.
The projected upper bound is: 112.96.
The projected lower bound is: 110.95.
The projected closing price is: 111.96.
A black body occurred (because prices closed lower than they opened).
During the past 10 bars, there have been 6 white candles and 4 black candles for a net of 2 white candles. During the past 50 bars, there have been 27 white candles and 21 black candles for a net of 6 white candles.
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 92.0636. This is an overbought reading. However, a signal is not generated until the Oscillator crosses below 80 The last signal was a sell 5 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 59.77. 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 72 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 110.This is an overbought reading. However, a signal isn’t generated until the indicator crosses below 100. The last signal was a sell 6 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 10 period(s) ago.
Rex Takasugi – TD Profile
FOREX JPY= closed down -0.110 at 111.920. Volume was 43% below average (neutral) and Bollinger Bands were 14% narrower than normal.
Open High Low Close Volume___
112.030 112.050 111.830 111.920 53,673
Short Term: Overbought
Intermediate Term: Bullish
Long Term: Bullish
Moving Averages: 10-period 50-period 200-period
Close: 111.61 111.04 111.51
Volatility: 5 6 7
Volume: 81,243 91,910 103,177
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 0.4% above its 200-period moving average and is in an upward trend. Volatility is relatively normal as compared to the average volatility over the last 10 periods. Our volume indicators reflect volume flowing into and out of JPY= at a relatively equal pace (neutral). Our trend forecasting oscillators are currently bullish on JPY= and have had this outlook for the last 3 periods.
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