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26 Feb 2015
USD/JPY: Holdinf form on the 119 handle
FXStreet (Guatemala) - USD/JPY is trading at 119.34 with a high of 119.40 and a low of 118.67.
119.40 needs to give to allow a pop at 119.70 and then the psychological 120 handle. However, US data in CPI month on month is holding the pair up as it came in much lower than expectations of -0.4% and read -0.7%. Despite this, the greenback is relatively strong vs the Yen and is holding within short term bullish territory.
However, technically, Karen Jones, chief analyst at Commerzbank explained that the failure at the 16th February low at 118.11 should be enough to trigger a slide back to the 116.20 support line. "The market has recently failed to sustain a break higher from a converging range, but has yet to break down either – the pattern is neutral. Resistance lies at the February high at 120.48 ahead of is the 121.86 December high then the 122.45 15 year downtrend."
119.40 needs to give to allow a pop at 119.70 and then the psychological 120 handle. However, US data in CPI month on month is holding the pair up as it came in much lower than expectations of -0.4% and read -0.7%. Despite this, the greenback is relatively strong vs the Yen and is holding within short term bullish territory.
However, technically, Karen Jones, chief analyst at Commerzbank explained that the failure at the 16th February low at 118.11 should be enough to trigger a slide back to the 116.20 support line. "The market has recently failed to sustain a break higher from a converging range, but has yet to break down either – the pattern is neutral. Resistance lies at the February high at 120.48 ahead of is the 121.86 December high then the 122.45 15 year downtrend."