USDJPY: While USDJPY continues to attempt a recovery higher, as long as it holds below the 78.18/27 levels, we see risk to the downside. This leaves risk of a return to the 76.57 level. If this occurs, the 75.57 level, its Oct’2011 low will be targeted with a break turning attention to the 74.00 level and then the 73.00 level, all representing its psycho levels. Conversely, USDJPY will have to climb back above the 78.18/27 levels to trigger its corrective recovery. This will clear the way for a run at the 79.49 level, its Oct 2011 high followed by the 81.47 level, its July 08’2011 high and subsequently the 82.21 level, its May 24’2011 high. All in all, USDJPY is biased to the downside in the long term despite its recovery attempts.
Discover how our Daily Forex Research Trusted by Over 3,000 Traders can help you make easy and smart trading decisions.
