USD/JPY

Updated: 4 days ago
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The Dollar-Yen recent bullish contest has somewhat subsided as the US Dollar Index takes a tumbled.

Based on the technical aspect, the Relative Strength Index (RSI) 3-daily ‘lookback’ indicator shows bearish divergence as it buckles away from the overbought zone, while the Moving Average Convergence Divergence (MACD) holds a positive signal.

The Average Directional Movement Index (ADX) trend indicator holds to a bullish signal (but overheating).

As prices push higher, we could soon see a bull trap set and a potential retreat to 112.45-65, especially due to the bearish divergence. Reassess from there.

Levels 1st 2nd 3rd
Resistance 114.50-60 115.40-45 116.00-10
Support 113.85 minor 113.45 112.45-65