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9 Aug 2013
Flash: USD/JPY is vulnerable - Commerzbank
FXstreet.com (Barcelona) - Karen Jones, Head of Technical Analysis at Commerzbank notes that USD/JPY has maintained downside pressure and will shortly encounter 95.42 (Fibo) then the 94.68 support line.
Key Quotes
“It is possible that this will hold the initial test, but we are not expecting to see reversal.”
“The market is increasingly looking toppy and we would allow for losses right back to the 93.75/55, this is the June low and the 38.2% retracement of the move up from the September 2012 low.”
“We note the divergence of the RSI on both the 60 minute and 240 minute charts. This suggests a loss of downside momentum.”
“We also note the 13 count on the TD combo on the 240 min chart and would tighten stops on
shorts. We look for intraday rallies to struggle at 97.15, 97.50 and be capped by 98.50/75.”
Key Quotes
“It is possible that this will hold the initial test, but we are not expecting to see reversal.”
“The market is increasingly looking toppy and we would allow for losses right back to the 93.75/55, this is the June low and the 38.2% retracement of the move up from the September 2012 low.”
“We note the divergence of the RSI on both the 60 minute and 240 minute charts. This suggests a loss of downside momentum.”
“We also note the 13 count on the TD combo on the 240 min chart and would tighten stops on
shorts. We look for intraday rallies to struggle at 97.15, 97.50 and be capped by 98.50/75.”