USD/JPY Forex Technical Analysis for June 20, 2016
Forex Technical Analysis – The USD/JPY pair fell during the day on Friday, showing signs of weakness yet again. That being the case, it looks as if we are going to try to reach down towards the lows that we formed on Thursday. This pair seems to be struggling due to the fact that there is so much in the way of uncertainty when it comes to the economic markets at the moment. That being the case, the market looks as if it is going to favor the “safety currencies.” Ultimately, the market will continue to go lower on signs of exhaustion after short-term rallies.
In Other View Point – USD/JPY PRICE BREAKOUT
We wish that our precise signals could be favourable on your trades. Its an update for USD/JPY, Forecast for PRICE BREAKOUT, SELL on 104.585 and place your TARGET at 104.385
In Other View Point – USD/JPY capped at 104.85 on broad USD selling
Monday opening trade took the USD/JPY pair higher and extending its up-move to 104.85 as receding support for ‘Brexit’ boosted risk appetite, hurting the perceived safe-haven demand for the Japanese Yen.
Despite of the global risk-on rally, the pair remained close to Friday’s trading range and hasn’t been able to build on to its early gains. Currently trading slight off-day’s peak at 104.65, the pair remains capped on broad-based US Dollar selling pressure.
Going forward, in absence of any major market-moving, economic releases risk appetite surrounding riskier asset classes, like equities, and developments around the upcoming Brexit referendum would continue to drive the pair on Monday.
Technical levels to watch
From current levels, the pair needs to build on to its momentum above 104.80-85 resistance, above which it seems all set to extend its upward trajectory beyond 105.00 psychological mark towards testing its next major resistance near 105.50 region. Conversely, weakness below 104.50, leading to a break below 104.00 handle, might attract fresh offers, dragging the pair further below Thursday’s multi-month lows support near 103.55 towards testing 103.00 round figure mark.