22 Jun 2015
USD/JPY tests offers at 123.00
FXStreet (Bali) - USD/JPY gapped higher in early Asia, testing offers at 123.00 before retracing some 20 odd pips towards the 122.80, still over 15 pips above last NY close, with the market off to a more risk-seeking profile as hope prevails that Greece will ultimately manage to reach some sort of compromise with its international creditors.
USD/JPY technicals
Valeria Bednarik, Chief Analyst at FXStreet, notes: "The pair lost its bullish strength after topping near 126.00 following US Nonfarm Payrolls release earlier this month, and the daily chart shows that the price holds far above its moving averages, with the 100 DMA currently around 120.80, although he technical indicators maintain their strong bearish slopes below their mid-lines, keeping the risk towards the downside."
"In the 4 hours chart, the price was capped by its 100 SMA, now around 124.00, whilst the Momentum indicator heads sharply lower in negative territory, and the RSI indicator consolidates in negative territory, all of which maintains the risk towards the downside. With the price having bottomed around the mentioned 122.45 level twice, a downward acceleration below it should signal a bearish continuation towards the mentioned 120.80 level, before buying interest re-surges", Valeria adds.
USD/JPY technicals
Valeria Bednarik, Chief Analyst at FXStreet, notes: "The pair lost its bullish strength after topping near 126.00 following US Nonfarm Payrolls release earlier this month, and the daily chart shows that the price holds far above its moving averages, with the 100 DMA currently around 120.80, although he technical indicators maintain their strong bearish slopes below their mid-lines, keeping the risk towards the downside."
"In the 4 hours chart, the price was capped by its 100 SMA, now around 124.00, whilst the Momentum indicator heads sharply lower in negative territory, and the RSI indicator consolidates in negative territory, all of which maintains the risk towards the downside. With the price having bottomed around the mentioned 122.45 level twice, a downward acceleration below it should signal a bearish continuation towards the mentioned 120.80 level, before buying interest re-surges", Valeria adds.