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31 Mar 2015
USD/JPY settles below 120.00
FXStreet (Córdoba) - USD/JPY failed to sustain gains above the 120.00 level as the consumer confidence-inspired spike quickly faded.
USD/JPY found resistance at a session high of 120.14 and pulled back before being contained by the 119.80 area and being confined to a narrow range over the last hours. At time of writing, the pair is trading at 119.90, recording a 0.19% loss on the day.
However, USD/JPY is on track for a slight monthly gain, although it is closing Q1 virtually unchanged.
USD/JPY short-term technical outlook
“Technically, the 1 hour chart shows that the price held above its 200 SMA, while the 100 SMA offers the next intraday support around 119.40. In the same chart, the technical indicators lack directional strength below their mid-lines. In the 4 hours chart, the price struggles around a flat 200 SMA, although the technical indicators maintain their bullish slopes above their mid-lines, limiting chances of a stronger decline in the short term”, said Valeria Bednarik, chief analyst at FXStreet. “At this point, the price needs to advance beyond 120.45, a strong static resistance level, to anticipate further advances towards the 121.00 level”.
Bednarik locates immediate support levels at 119.80, 119.40 and 119.00, while she sees resistances at 120.45, 120.80 and 121.20.
USD/JPY found resistance at a session high of 120.14 and pulled back before being contained by the 119.80 area and being confined to a narrow range over the last hours. At time of writing, the pair is trading at 119.90, recording a 0.19% loss on the day.
However, USD/JPY is on track for a slight monthly gain, although it is closing Q1 virtually unchanged.
USD/JPY short-term technical outlook
“Technically, the 1 hour chart shows that the price held above its 200 SMA, while the 100 SMA offers the next intraday support around 119.40. In the same chart, the technical indicators lack directional strength below their mid-lines. In the 4 hours chart, the price struggles around a flat 200 SMA, although the technical indicators maintain their bullish slopes above their mid-lines, limiting chances of a stronger decline in the short term”, said Valeria Bednarik, chief analyst at FXStreet. “At this point, the price needs to advance beyond 120.45, a strong static resistance level, to anticipate further advances towards the 121.00 level”.
Bednarik locates immediate support levels at 119.80, 119.40 and 119.00, while she sees resistances at 120.45, 120.80 and 121.20.