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27 May 2014
USD/JPY pauses ahead of 102.00
FXStreet (Bali) - USD/JPY is finding in 102.00 a tough resistance area to break during the current Asian session, currently at 101.95.
Market sources are reporting some end-of-month demand from Japanese retail funds for JPY crosses, which even if combined with solid gains in the Nikkei, which is up over 0.8%, is still not enough to see the pair break above the sticky resistance, which had already stalled bulls' advance last Friday. Japanese exporter are among the most notorious sellers near 102.00.
Technically, Valeria Bednarik, Chief Analyst at FXStreet, notes: "The hourly chart shows a pretty uneventful stance coming from indicators flat in neutral territory, albeit moving averages tell a different story: 100 one crossed to the upside 200 one adding some upward potential to the pair, both now acting as intraday support in the 101.60 price zone. In the 4 hours chart indicators corrected overbought readings and turned back north, supporting the shorter term view. Nevertheless, steady gains above 102.00 are required to confirm an approach to the 103.00 area during the upcoming 24 hours."
Market sources are reporting some end-of-month demand from Japanese retail funds for JPY crosses, which even if combined with solid gains in the Nikkei, which is up over 0.8%, is still not enough to see the pair break above the sticky resistance, which had already stalled bulls' advance last Friday. Japanese exporter are among the most notorious sellers near 102.00.
Technically, Valeria Bednarik, Chief Analyst at FXStreet, notes: "The hourly chart shows a pretty uneventful stance coming from indicators flat in neutral territory, albeit moving averages tell a different story: 100 one crossed to the upside 200 one adding some upward potential to the pair, both now acting as intraday support in the 101.60 price zone. In the 4 hours chart indicators corrected overbought readings and turned back north, supporting the shorter term view. Nevertheless, steady gains above 102.00 are required to confirm an approach to the 103.00 area during the upcoming 24 hours."