USD/JPY Trades Near Weekly Low, Struggling to Break Above 138.00 Amid Bearish Indications
Early Thursday trade has shown that the USD/JPY is maintaining a position at the weekly low of roughly 134.50. The Yen has fallen for three days in a row, and it is currently trading near its 21-day Exponential Moving Average (EMA) and an ascending support line from March 24.
Bears on the USD/JPY pair remain bullish due to the Yen’s inability to sustain a daily closing above 138.00 and the pair’s subsequent retreat moves that breached the prior support zone around 135.25-15, which had been in place since mid-February.
The imminent bear cross on the MACD also suggests further downward momentum.
Near the 134.50-40 support area, however, the 21-day EMA and an ascending support line dating back five weeks present a challenge to Yen pair sellers.
As a result, the area around 133.85, where the 50-day EMA meets the 200-day EMA, will be quite significant for the USD/JPY pair.
Short-term bulls need confirmation from the immediate multi-day resistance zone around 135.15-25 before they can get excited about buying USD/JPY.
However, USD/JPY buyers may be challenged by several barriers near 136.70, the 137.00 round figure, and the 138.00 threshold before they are granted control.
ABOUT THE AUTHOR
See More
Sidebar rates
Related Posts
SaveAdd 3440
Join 350 000+ traders receiving Free Trading Signals
Alerts
Rates
Calendar
Signals