#USDJPY @ 138.399 takes offers to refresh intraday low inside a two-week-long symmetrical triangle., @nehcap view: Limited downside expected (Pivot Orderbook analysis)

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• USD/JPY takes offers to refresh intraday low inside a two-week-long symmetrical triangle.
• Sluggish MACD challenges further downside, 50-SMA adds strength to the triangle’s resistance line.
• Bulls remain unconvinced below 142.50, sellers could aim for 135.80-60 zone on defying triangle formation.

The pair currently trades last at 138.399.

The previous day high was 139.6 while the previous day low was 138.37. The daily 38.2% Fib levels comes at 139.13, expected to provide resistance. Similarly, the daily 61.8% fib level is at 138.84, expected to provide resistance.

USD/JPY stands on slippery grounds near 138.50 as risk-aversion intensifies during early Monday. Even so, the Yen pair remains inside a 12-day-old symmetrical triangle.

That said, the sluggish signals from the Moving Average Convergence and Divergence (MACD) indicator probes the USD/JPY bears as they approach the stated triangle’s support line, near 138.20 by the press time.

Even so, the 138.00 threshold and the the Relative Strength Index (RSI), located at 14, could challenge the pair sellers afterward.

In a case where the USD/JPY stays bearish past 138.00, the odds of witnessing a slump towards the 135.80-60 support zone, comprising levels marked since early August, can’t be ruled out.

Alternatively, a convergence of the 50-SMA and upper line of the aforementioned triangle highlights the 140.00 as a tough nut to crack for the USD/JPY bulls.

It should, however, be noted that a fortnight-old horizontal resistance near 142.30-50 will be crucial for the pair buyers as a break of which could reverse the latest bearish trend.

Trend: Limited downside expected

Technical Levels: Supports and Resistances

USDJPY currently trading at 138.7 at the time of writing. Pair opened at 139.04 and is trading with a change of -0.24% % .

The pair is trading below its 20 Daily moving average @ 142.87, below its 50 Daily moving average @ 144.76 , below its 100 Daily moving average @ 141.17 and above its 200 Daily moving average @ 133.96

The previous day high was 139.6 while the previous day low was 138.37. The daily 38.2% Fib levels comes at 139.13, expected to provide resistance. Similarly, the daily 61.8% fib level is at 138.84, expected to provide resistance.

Note the levels of interest below:

• Pivot support is noted at 138.41, 137.78, 137.19
• Pivot resistance is noted at 139.63, 140.22, 140.85

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