Yen losing positions again
Tatiana Norkina, FBS analyst
Hardly had USDJPY managed to update the local lows, testing 120.60 far below the four-hour Ichimoku cloud, tough purchasers immediately got into the game, returning the currency pair rate into the positive area. Yesterday, the pair was recovering to the 123.50 mark, having broken through the cloud's upper border resistance.
It should be noted that the Tenkan and Kijun lines have lifted up, following the prices and forming a golden cross. The Senkou Span A and B lines have also crossed, changing the major trend to upward. At the same time, Chinkou Span has entered the zone of overboughtness.
Therefore, a correction to the Tenkan line is possible in the near future, which is likely to be followed by further growth.
Technical levels: support – 123.00, 122.40/60; resistance – 123.70/90.
1. Buy — 122.60; SL — 122.40; TP1 — 123.70; TP2 — 124.20.