Japanese Yen: USD/JPY (JPY=X) under pressure
USD/JPY has, for now, established a bottom at ¥105.50, but this lower low continues to reinforce the bearish view. The gains made earlier in the week have been eroded, with the price failing to hold first ¥107.00 and then ¥106.50.
Overnight gains stalled below ¥106.30, so if this continues to act as resistance a third test of ¥105.50 may be in the offing. A rally through ¥106.50 would help to dispel some of the bearish atmosphere, but even then the longer-term sequence of lower highs and lower lows remains in place.
Overall, the bias in prices is: Downwards.
By the way, prices are vulnerable to a correction towards 108.09.
The projected upper bound is: 106.70.
The projected lower bound is: 104.36.
The projected closing price is: 105.53.
A white body occurred (because prices closed higher than they opened).
During the past 10 bars, there have been 3 white candles and 7 black candles for a net of 4 black candles. During the past 50 bars, there have been 24 white candles and 24 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 23.0769. This is not an overbought or oversold reading. The last signal was a buy 2 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 30.23. 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 4 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 -97. This is not a topping or bottoming area. The last signal was a buy 0 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 sell 6 period(s) ago.
Rex Takasugi – TD Profile
FOREX JPY= closed down -0.080 at 105.580. Volume was 99% below average (consolidating) and Bollinger Bands were 84% wider than normal.
Open High Low Close Volume___
105.570 105.630 105.510 105.580 436
Short Term: Neutral
Intermediate Term: Bearish
Long Term: Bearish
Moving Averages: 10-period 50-period 200-period
Close: 106.72 107.85 110.23
Volatility: 9 7 7
Volume: 94,630 86,834 95,267
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 4.2% below its 200-period moving average and is in an downward trend. Volatility is high 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 bearish on JPY= and have had this outlook for the last 5 periods. The security price has set a new 14-period low while our momentum oscillator has not. This is a bullish divergence.