USD/JPY Highlights:
- USD/JPY trying to break downtrend from June
- A run towards the 200-day over 10800 may be in the works
USD/JPY is working on another leg higher after a pullback following the verbal intervention that spurred it off multi-month lows to end July. It is currently trading above the top-side trend-line of a clean set of parallels, and if the rally holds it will have attention focused on the 10800 area.
A rise to that point may be all that is in store for now as there is a good deal of resistance in that vicinity. There are several turning points surrounding 10800 (+/- 30 pips) since November, as well as the 200-day at 10813 and a channel line coming off the February high.
At that juncture it appears likely, given the way USD/JPY has been trading, that we would see a meaningful reaction lower. Should we see failure in today’s rally, then it could result in a head fake breakout that sees that reaction begin much sooner and at lower levels.
Recommended by Paul Robinson
Check out the Q3 USD Forecast
USD/JPY Daily Chart (run towards 10800 coming?)
USD/JPY Chart by TradingView
Resources for Forex Traders
Whether you are a new or experienced trader, we have several resources available to help you; indicator for tracking trader sentiment, quarterly trading forecasts, analytical and educational webinars held daily, trading guides to help you improve trading performance, and one specifically for those who are new to forex.
—Written by Paul Robinson, Market Analyst
You can follow Paul on Twitter at @PaulRobinsonFX
