USDJPY broke out of its horizontal resistance-turned-support level at 105.60 (horizontal overlap support, breakout level). A strong bounce could occur at this level pushing price up to our major resistance at 106.67 (horizontal swing high resistance, 76.4% Fibonacci retracement, 100% Fibonacci extension) which coincides with the long term descending resistance line. A breakout of our intermediate resistance at 105.97 (horizontal swing high resistance, 50%, 61.8% Fibonacci retracement, 61.8% Fibonacci extension, double bottom exit potential) might provide the bullish acceleration to our major resistance level.
RSI (34) is also seeing a bullish exit, a good precursor of a potential rise in price.
Losses can exceed the initial investment so please ensure you fully understand the risks Trading CFDs on margin carries high risk.
RSI (34) is also seeing a bullish exit, a good precursor of a potential rise in price.
Losses can exceed the initial investment so please ensure you fully understand the risks Trading CFDs on margin carries high risk.
This analysis is provided as general market commentary and does not constitute investment advice. Past performance is not indicative of future results