USD/JPY Consolidates within Steep and Sustained Bullish Trend
James Chen February 13, 2013 8:00 PM
<p>USD/JPY (daily chart), as of February 13, 2013, has pulled back slightly and consolidated just off its 33-month high of 94.44 established on Monday. For […]</p>
USD/JPY (daily chart), as of February 13, 2013, has pulled back slightly and consolidated just off its 33-month high of 94.44 established on Monday. For the past five months since the low just above 77.00 in September 2012, USD/JPY has shown very little in the way of bearish retracement or correction within the exceptionally steep bullish trend. This trend has signified unprecedented yen weakening against the dollar, representing a full 22% increase in price for USD/JPY over just a few short months. In most recent months, price has reliably reached its upside price objectives in a rapid manner, including 84.00, 88.00, 90.00, and 92.00.
Despite the current consolidation, overall bullish momentum remains strong for the pair. After being broken to the upside over a week ago, the 92.00 level has held strong as a key support level within the current uptrend. In the event of a further pullback, the 90.00 level should serve as further key support to the downside. With a continuation of the strong bullish trend, the next major resistance objective to the upside resides around 95.00, with further upside potential towards the 98.00 and 100.00 levels.
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