22 Jul 2013
Flash: USD/JPY has failed to clear the resistance line at 100.87
FXstreet.com (London) - Karen Jones, Head of FICC Technical Analysis at Commerzbank highlights the banks technical view on USD/JPY.
Key Quotes:
“USD/JPY crept higher all of last week but attempt to clear
the three month resistance line at 100.87 have so far failed, only a close above which will put the 101.60 78.6% retracement back on the map”.
“While this level caps, the base of the cloud at circa 97.92/93 could be revisited. It remains sandwiched between these two levels, but we suspect that overall risk is still on the downside”.
“Should the base of the cloud be eroded, it will leave the market under pressure and likely to slide back to 96.75/95.40 en route to the 93.75 recent low. Above 101.60 will re-target the 103.74 May peak”.
“Current Position: Square. Recommended Trade: Attempt tiny shorts 100.85, add 101.30, stop 101.65”.
“Shorter term (1-3 weeks): Neutral. Medium term (1-3 month): Market has topped for now”.
Key Quotes:
“USD/JPY crept higher all of last week but attempt to clear
the three month resistance line at 100.87 have so far failed, only a close above which will put the 101.60 78.6% retracement back on the map”.
“While this level caps, the base of the cloud at circa 97.92/93 could be revisited. It remains sandwiched between these two levels, but we suspect that overall risk is still on the downside”.
“Should the base of the cloud be eroded, it will leave the market under pressure and likely to slide back to 96.75/95.40 en route to the 93.75 recent low. Above 101.60 will re-target the 103.74 May peak”.
“Current Position: Square. Recommended Trade: Attempt tiny shorts 100.85, add 101.30, stop 101.65”.
“Shorter term (1-3 weeks): Neutral. Medium term (1-3 month): Market has topped for now”.