The USDJPY continued its consolidation phase last week, a weekly close above the 99.27 levels is likely to add pressure on the 100.86/101.52 levels, to resume rise from the 95.80 levels, the pair needs to clear the 101.52 levels to open 103.73 levels, a breach will have large bullish implication towards the 108.21 levels, further upside will aim the 112.30 levels.
On the downside, stability below the 99.27 levels, will confirm rejection from the 101.52 levels, and It’s likely to add pressure on the 96.81/95.80 levels, losing this level will turn the focus on the 92.56 levels, If this important support fails, expect the market to weaken further towards the 85.00 levels.
In all, the pair is trapped within consolidation pattern, a weekly close below 92.56 or above 103.73 is needed to get out of this range, otherwise more sideways moves are suggested within 92.56/103.73 range.
Support and resistance levels (weekly chart) : 84.17 ,89.15, 92.56 (main) ,93.52 , 95.80 , 96.81 , 99.27 (pivot) , 100.86, 101.52 , 103.73 (main), 108.21, 112.30
Trend Strength (Weekly Chart):
- Bullish : above 103.73
- Neutral : below 103.73
- Bearish : below 92.56
USDJPY – Weekly Chart