• FxWirePro: USD/JPY fails at major trendline resistance, Doji formation raises cope for weakness

    Source: FxWire Pro - Technicals / 18 Jun 2018 00:45:46   America/New_York

    • USD/JPY fails to extend bullish gap open, slips lower from session highs at 110.73 to trade 0.15% lower at 110.47.
       
    • Upside in the pair was capped at major trendline resistance at 110.90 on Friday's trade.
       
    • Further we evidence a Doji formation at highs which raises scope for weakness in the pair.
       
    • Stochs are in overbought territory which is a cause for caution, some pullback possible.
       
    • 200-DMA at 110.21 is major support on the downside. Break below will see extension of downside.
       
    • Scope then for test of daily cloud at 108.83. Violation there could see further downside.
       
    • On the upside, the pair needs to break above major trendline resistance at 110.90 for further upside.

    Support levels - 110.21 (200-DMA), 110

    Resistance levels - 110.90 (trendline), 111

    FxWirePro Currency Strength Index: FxWirePro's Hourly USD Spot Index was at 32.1995 (Neutral), while Hourly JPY Spot Index was at 89.4942 (Neutral) at 0415 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex
     

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