USD/JPY Hits New 32-Month High at 93.50
James Chen February 5, 2013 8:20 PM
<p>USD/JPY (daily chart) as of February 5, 2013 has reached a new 32-month high at 93.50, which represents a full 21% increase in price from […]</p>
USD/JPY (daily chart) as of February 5, 2013 has reached a new 32-month high at 93.50, which represents a full 21% increase in price from its September 2012 low of 77.12 at the beginning of the current bullish trend. This steep and rapid ascent of the past five months has shown little indication of relenting, as bearish pullbacks and corrections have been very few and far between. The last significant correction occurred two weeks ago on a pullback from the 90.00 level to key 88.00 support, but even that posed only a small obstacle to the exceptionally strong bullish trend.
After having broken out above its previous 92.00 target late last week, price has a potential upside objective around the 95.00 resistance level, with further upside potential around 98.00. Before those levels may be reached, though, the rapid extension of the current uptrend could likely see another pullback. Nearby support on this potential pullback now resides around the 92.00 level, with further downside support on any deeper correction around the 90.00 level.
StoneX Financial Ltd (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.