19 Feb 2015
USD/JPY: Bears making tough work of the downside - FXStreet
FXStreet (Guatemala) - Valeria Bednarik, chief analyst at FXStreet explained the conditions surrounding the Yen post FOMC minutes.
Key Quotes:
"Having traded as high as 119.40 earlier in the day, the USD/JPY pair plummeted to 118.55 following FOMC Minutes, and holding nearby as the US session comes to an end."
"The pair has received a boost during the previous Asian session as the BOJ, in its monthly monetary policy, voted 8-1 to maintain the ongoing stimulus program. But the pair resumed its decline following worse than expected US fundamental data, accelerating lower by the end of the day."
"From a technical perspective, the 1 hour chart shows that the price broke through its 100 and 200 SMAs, while indicators crossed their mid-lines to the downside, anticipating some further declines."
"In the 4 hours chart however, the pair seems to have set a base around 118.25, the immediate support level to break to confirm the expected decline. In this same time frame, the technical indicators head lower, but remain above their mid-lines, limiting chances of a stronger decline at least in the short term."
Key Quotes:
"Having traded as high as 119.40 earlier in the day, the USD/JPY pair plummeted to 118.55 following FOMC Minutes, and holding nearby as the US session comes to an end."
"The pair has received a boost during the previous Asian session as the BOJ, in its monthly monetary policy, voted 8-1 to maintain the ongoing stimulus program. But the pair resumed its decline following worse than expected US fundamental data, accelerating lower by the end of the day."
"From a technical perspective, the 1 hour chart shows that the price broke through its 100 and 200 SMAs, while indicators crossed their mid-lines to the downside, anticipating some further declines."
"In the 4 hours chart however, the pair seems to have set a base around 118.25, the immediate support level to break to confirm the expected decline. In this same time frame, the technical indicators head lower, but remain above their mid-lines, limiting chances of a stronger decline at least in the short term."