USD/JPY outlook: Bulls to remain in play while holding above broken Fibo barrier
|USD/JPY
USDJPY eases on Tuesday as traders reacted on overbought daily studies, but dips are likely to be limited and mark a healthy correction of larger uptrend.
Technical picture on daily chart remains bullish (strong positive momentum / moving averages in bullish configuration) keeping in play expectations for final push towards key barriers at 150.90/94 (peaks of 2023 and 2022 respectively).
Bullish outlook is supported by the fact that the pair holds above broken pivotal barriers at 150.00/149.15 (psychological / Fibo 76.4% of 151.90/140.25) for the third week and near-term action is expected to remain biased higher while these supports contain dips.
Initial support at 150.18 (daily Tenkan-sen) has been cracked but so far without clear break, guarding 150.00 level and 149.41/15 (20DMA / Fibo 76.4%).
Only sustained break of 149.15 would neutralize bulls and open way for deeper correction of 140.25/150.88 rally.
A number of economic releases from the US these days (focus is on Q4 GDP and PCE index) are expected to provide fresh signals.
Res: 150.29; 150.64; 150.88; 151.43.
Sup: 150.00; 149.41; 149.15; 148.39.
Interested in USD/JPY technicals? Check out the key levels
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.