Slobodan Drvenica
Windsor Brokers
USD/JPY
USDJPY fell sharply after surprise drop in US inflation, falling 2.6% in immediate reaction to data and being one of top losers on Thursday.
US CPI data did the job for Japan’s authorities by sending yen sharply higher without an intervention.
The USDJPY price fell to the lowest in three weeks, in a biggest daily loss since May 1, retracing so fat over 38.2% of 151.85/161.95 upleg, with close below cracked Fibo support (158.09) needed to reinforce fresh and strong bearish signal.
Upticks should be capped under 20DMA / psychological (160.00) to keep fresh bears intact for further decline and test of next targets at 156.90 and 155.71 (Fibo 50% and 61.8% respectively).
Res: 159.56; 160.00; 160.97; 161.75.
Sup: 158.09; 157.51; 156.90; 155.71.
Interested in USD/JPY technicals? Check out the key levels
The information contained in this document was obtained from sources believed to be reliable, but its accuracy or completeness cannot be guaranteed. Any opinions expressed herein are in good faith, but are subject to change without notice. No liability accepted whatsoever for any direct or consequential loss arising from the use of this document.
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