11 Feb 2015
USD/JPY: Go with the break targeting 125.45 - CB
FXStreet (Guatemala) - Karen Jones, chief analyst at Commerzbank explained that USD/JPY has broken higher from its converging range and despite strong overhead resistance we will simply go with this break.
Key Quotes:
"The market has broken up from a symmetrical triangle which offers an upside measured target to 125.45. Initial resistance is the 121.86 December high then the 122.45 15 year downtrend."
"Due to the fact that patterns do not out weight downtrends, 122.45 will be our target for now. Below the market the 20 day ma at 118.04 guards115.55/50 (Mid December low and the 38.2% retracement)."
"Directly above the market lies the 123.40 major resistance, this is the location of the long term Fibonacci retracement. It is also TD resistance on the weekly chart and we note the 13 count on the monthly chart. This is extremely tough resistance."
Key Quotes:
"The market has broken up from a symmetrical triangle which offers an upside measured target to 125.45. Initial resistance is the 121.86 December high then the 122.45 15 year downtrend."
"Due to the fact that patterns do not out weight downtrends, 122.45 will be our target for now. Below the market the 20 day ma at 118.04 guards115.55/50 (Mid December low and the 38.2% retracement)."
"Directly above the market lies the 123.40 major resistance, this is the location of the long term Fibonacci retracement. It is also TD resistance on the weekly chart and we note the 13 count on the monthly chart. This is extremely tough resistance."