USD/JPY growth stalled
Tatiana Norkina, FBS analyst
As expected, the USD/JPY currency pair has rebounded from the four-hour Tenkan-sen line support and grown up to 123.90 during the previous day. However, these levels, in the 124th figure area, contain a poweful resistance that does not let the bulls futher upwards. The flow of new buyers is constrained by the market overboughtness as well.
At the same time, the Ichimoku indicator is quite positive: the cloud keeps expanding against the active golden cross.
If the bulls fail to break above 124.00 in the coming hours, the short-term bearish scenario development is quite likely, which would result in the pair's correction into the Tenkan-Kijun channel.
Technical levels: support – 123.40; resistance – 123.90.
1. Buy — 123.40; SL — 123.20; TP1 — 123.90; TP2 — 124.20.