#USDJPY @ 133.716 struggles to defend the bounce off 100-SMA around one-week low., @nehcap view: Further downside expected (Pivot Orderbook analysis)

…
This is a premium post.
[s2If !current_user_can(access_s2member_level4)]Please register for FREE REGISTER to read full post below containing analysis. In case of any error or you think you are not able to read the full post below, please email us at support#nehcap.com [lwa][/s2If] [s2If current_user_can(access_s2member_level1)]

• USD/JPY struggles to defend the bounce off 100-SMA around one-week low.
• Convergence of one-week-old resistance line and ascending trend line from early April appears crucial resistance.
• Sellers need to defy five-week-old rising channel to retake control.
• Sluggish oscillators, failure to rebound keeps Yen pair sellers hopeful.

The pair currently trades last at 133.716.

The previous day high was 133.94 while the previous day low was 133.01. The daily 38.2% Fib levels comes at 133.37, expected to provide support. Similarly, the daily 61.8% fib level is at 133.59, expected to provide support.

USD/JPY treads water around 133.70 as it fades late Wednesday’s corrective bounce from a fortnight’s low during early Thursday in Europe. In doing so, the Yen pair fades rebound from the 100-SMA while justifying the early-week break of an upward-sloping trend line from April 05, now immediate resistance.

Apart from the trend line break, downbeat MACD signals and steady RSI also keeps Yen pair sellers hopeful.

However, a clear downside break of the 100-SMA level of 133.40 becomes necessary to convince sellers. Even so, the bottom line of the five-week-old ascending trend channel, close to 132.40 as we write, challenges the USD/JPY bears.

In a case where the Yen pair remains bearish past 132.40, the odds of witnessing a gradual downturn towards the monthly bottom of 130.63 and then to the late March swing low of near 129.65 can’t be ruled out.

Meanwhile, recovery moves need to cross the 134.45-50 resistance confluence to convince short-term buyers of the USD/JPY pair. A downward-sloping trend line from April 19 joins the three-week-long previous support line to highlight the stated hurdle.

Should the pair buyers keep the reins past 134.50, the previously mentioned channel’s top line, close to 135.55 at the latest, can act as the last defense of the USD/JPY bears.

Trend: Further downside expected

Technical Levels: Supports and Resistances

USDJPY currently trading at 133.68 at the time of writing. Pair opened at 133.67 and is trading with a change of 0.01% % .

The pair is trading above its 20 Daily moving average @ 133.25, below its 50 Daily moving average @ 133.79 , above its 100 Daily moving average @ 132.92 and below its 200 Daily moving average @ 137.01

The previous day high was 133.94 while the previous day low was 133.01. The daily 38.2% Fib levels comes at 133.37, expected to provide support. Similarly, the daily 61.8% fib level is at 133.59, expected to provide support.

Note the levels of interest below:

• Pivot support is noted at 133.14, 132.62, 132.22
• Pivot resistance is noted at 134.07, 134.47, 135.0

[/s2If]
Nehcap Expert Advisor
The NEHCAP MT4 EA is high quality professional trading system geared to generate returns without using GRID or martingales. Each trade has strict risk per trade parameter. The pairs under management include EURUSD, GBPUSD, AUDCAD, AUDNZD,GBPAUD, EURAUD, EURCAD, CHFJPY and many more.
The system is trading live: LIVE ACCOUNT TRACKING
You can run it free. Apply for a free trial and track our account. Buy the system or use profit share mechanism to generate returns on your MT4.
Join Our Telegram Group