USD/JPY continues consolidation below long-term high
James Chen April 13, 2015 7:41 PM
<p>USD/JPY (daily chart shown below) continues to consolidate off its recent seven-year high of 122.00 that was reached in March. That key 122.00 level had […]</p>
USD/JPY (daily chart shown below) continues to consolidate off its recent seven-year high of 122.00 that was reached in March.
That key 122.00 level had long been a major upside resistance target, even before December of 2014 when the prior multi-year high of 121.83 just barely missed the target.
This past February saw an upside breakout above a prolonged triangle consolidation that ultimately pushed USD/JPY to 122.00.
Since the target was reached, the currency pair has retreated and then partially recovered within a general consolidation that has been in place for the past month.
The overall trend bias continues to be strongly to the upside within the context of a longstanding bullish trend since 2012.
With strong downside support around 118.00 within the current consolidation, the major upside resistance target continues to be the noted 122.00 level. Any subsequent break above 122.00 should target the 124.00 level as the next major resistance objective to the upside.
GAIN Capital UK Limited (trading as “City Index”) is an execution-only service provider. This material, whether or not it states any opinions, is for general information purposes only and it does not take into account your personal circumstances or objectives. This material has been prepared using the thoughts and opinions of the author and these may change. However, City Index does not plan to provide further updates to any material once published and it is not under any obligation to keep this material up to date. This material is short term in nature and may only relate to facts and circumstances existing at a specific time or day. Nothing in this material is (or should be considered to be) financial, investment, legal, tax or other advice and no reliance should be placed on it.
No opinion given in this material constitutes a recommendation by City Index or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person. The material has not been prepared in accordance with legal requirements designed to promote the independence of investment research. Although City Index is not specifically prevented from dealing before providing this material, City Index does not seek to take advantage of the material prior to its dissemination. This material is not intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.