Dollar taken lead from Yen
Tatiana Norkina, FBS analyst
Strong support in the 118.50/80 area has again kept the currency pair from falling. Over the past four weeks, the bears have tried three times to reverse the daily trend. But so far, they have failed, which has been taken advantage of by the short-term buyers. For the second day in a row, the dollar has been strengthening against the Japanese currency, forming today's highs in the 119.40 area.
Nevertheless, the overall trend remains bearish. Thus, the dead cross is still in action, and the Ichimoku cloud is expanding downwards. Perhaps, after testing of the cloud's lower border levels, the downtrend will be resumed.
Technical levels: support – 118.50, 119.00; resistance – 119.50/60.
1. Sell — 119.50; SL — 119.70; TP1 — 118.80; TP2 — 118.50.