FBS: trading recommendation for USD/JPY
Tatiana Norkina, FBS analyst
Yesterday the pair traded within the hourly Ichimoku Cloud, in a very narrow range. Perhaps we can talk about the short-term fixing of the prices above 102.00 as it was followed by the break of the Cloud’s top.
Ichimoku indicator. Indeed, the bullish sentiment on H1 is gaining momentum. Active Golden Cross and the change in the nature of the Cloud to the positive can help in the recovery of the currency pair to 102.65 or even 102.80. At the same time, the H1 observed strong resistance level around 102.40/102.45.
At H4 there’s an ambiguous situation a result ofthe last week’s decline.The collapse ofprices below the Ichimoku Cloud forced the bearish cross of the lines Senkou Span A and Senkou Span B.That is, the Cloud has become bearish. However, the bulls are trying toregain the lost ground and return inside of the Cloud. In addition, the Dead Cross formedby Tenkan and Kijun early last weekis at the cancellation stage. Therefore, we can assume that, if the prices fix above 102.10, we should expect growthto the levels above 102.65 or 102.80.
Technical levels:Support -102.10, 102.25; resistance - 102.40, 102.65, 102.80.
1. Buy - 102.10; SL - 101.90; TP1 - 102.65; TP2 - 102.80.