USD/JPY Price Analysis: Bounces off six-week low towards 133.00 but stays on bear’s radar


  • USD/JPY consolidates recent losses around the lowest levels since mid-June, prints four-day downtrend.
  • Oversold RSI, key Fibonacci retracement levels challenge bears.
  • Bulls need to cross 200-SMA to retake control.

USD/JPY pares intraday losses during the four-day downtrend around 132.55-60. Even so, the yen pair holds onto the bearish breakdown amid Monday’s mid-Asian session.

Given the oversold RSI conditions, the quote’s corrective pullback towards the 38.2% Fibonacci retracement (Fibo.) of May 24 to July 14 upside, around 134.40, appears likely.

However, the previous support line from June 06 and the 200-SMA, respectively near 135.45 and 136.20, could challenge the USD/JPY buyers afterward.

It’s worth noting that a three-week-old horizontal resistance area near 137.45-50 appears the last defense for USD/JPY bears.

Meanwhile, the pair’s further downside could aim for the 50% and the 61.8% Fibonacci retracement support levels, around 132.85 and 131.30 in that order.

If at all the USD/JPY prices fail to rebound from 131.30, the 130.00 threshold could act as the additional filter to the south before directing the pair towards May’s low around 126.35.

Overall, USD/JPY remains bearish but a short-term corrective pullback can’t be ruled out.

USD/JPY: Four-hour chart

Trend: Bearish

Additional impotant levels

Overview
Today last price 132.58
Today Daily Change -0.71
Today Daily Change % -0.53%
Today daily open 133.29
 
Trends
Daily SMA20 136.7
Daily SMA50 134.26
Daily SMA100 129.98
Daily SMA200 122.27
 
Levels
Previous Daily High 134.68
Previous Daily Low 132.5
Previous Weekly High 137.46
Previous Weekly Low 132.5
Previous Monthly High 139.39
Previous Monthly Low 132.5
Daily Fibonacci 38.2% 133.33
Daily Fibonacci 61.8% 133.85
Daily Pivot Point S1 132.3
Daily Pivot Point S2 131.31
Daily Pivot Point S3 130.13
Daily Pivot Point R1 134.48
Daily Pivot Point R2 135.67
Daily Pivot Point R3 136.65

 

 

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