empty
 
 
12.01.2018 04:11 PM
Technical analysis of USD/JPY for January 12, 2018

This image is no longer relevant

USD/JPY is under pressure. The pair tested the support at the key level of 111.00 overnight (January 11). Currently, the pair is off that low but remains capped by the descending 20-period moving average, which stands below the 50-period one. And the relative strength index is yet to recover the neutrality level of 50, showing a lack of upward momentum for the pair.

The U.S. dollar remained on the defensive as the euro jumped 0.7% to US$1.2031 (day-high at US$1.2059) as the European Central Bank's December meeting minutes helped to boost investors' expectations that the central bank is preparing to reduce its monetary stimulus program.

Therefore, intraday bearishness persists, and the pair should sink toward 110.45 once crossing below 110.80.

Alternatively, if the price moves in the opposite direction, a short position is recommended below 111.95 with a target of 110.80.

Chart Explanation: The black line shows the pivot point. The current price above the pivot point indicates a bullish position, while the price below the pivot point is a signal for a short position. The red lines show the support levels and the green line indicates the resistance level. These levels can be used to enter and exit trades.

Strategy: SELL, stop loss at 111.95, take profit at 110.80.

Resistance levels: 112.15, 112.35, and 112.55

Support levels: 110.80, 110.45, and 110.00.

Earn on cryptocurrency rate changes with InstaForex
Download MetaTrader 4 and open your first trade
  • Grand Choice
    Contest by
    InstaForex
    InstaForex always strives to help you
    fulfill your biggest dreams.
    JOIN CONTEST
  • Chancy Deposit
    Deposit your account with $3,000 and get $8000 more!
    In March we raffle $8000 within the Chancy Deposit campaign!
    Get a chance to win by depositing $3,000 to a trading account. Having fulfilled this condition, you become a campaign participant.
    JOIN CONTEST
  • Trade Wise, Win Device
    Top up your account with at least $500, sign up for the contest, and get a chance to win mobile devices.
    JOIN CONTEST
  • 100% Bonus
    Your unique opportunity to get a 100% bonus on your deposit
    GET BONUS
  • 55% Bonus
    Apply for a 55% bonus on your every deposit
    GET BONUS
  • 30% Bonus
    Receive a 30% bonus every time you top up your account
    GET BONUS

Recommended Stories

Can't speak right now?
Ask your question in the chat.
Widget callback