USD/JPY technical analysis: Greenback erasing part of the Fed-inspired spike below 108.86 resistance

 

 

 

USD/JPY is trading in a range above the 108.50 level and the 50 SMA. The market only had a minor reaction to the 25 bps cut by the Federal Reserve. 

 

 

 

USD/JPY is trading above its main SMAs, suggesting a bullish bias in the medium term. Bulls need to generate a breakout above 108.86 to reach 109.40 resistance on the way up, according to the Technical Confluences Indicator.

 

 

 

The market is currently fading the Fed-inspired spike to 108.86. Support on the way down is seen at 108.61 and 108.41, according to the Technical Confluences Indicator.