USD/JPY 89.62 – 16 December 2009

USD/JPY Open 89.46 High 89.93 Low 88.60 Close 89.61
Dollar/Yen attempted to fall on Monday but the 88.36 support did a good job, preventing further downward pressure and maintaining a valid bullish scenario, as seen on the 1 hour chart. The bulls continued dominating on Tuesday too, when the currency couple climbed to the 89.93 top, closing the day at 89.61. USD/JPY is now in a consolidation phase and we look for a break out of the 88.36 – 89.93 range for clearer direction. Break bellow the nearest 88.36 support should bring a serious threat to the bullish outlooks and may weaken the Dollar further towards 87.76, while the break above the first 89.93 resistance might strengthen it and could trigger further upward momentum towards 90.76. The CCI indicator is positive on the 1 hour chart, suggesting for accumulated bullish pressure.
Technical resistance levels: 89.93 90.76 91.54
Technical support levels: 88.36 87.76 86.60

Trading range: 89.50 – 90.15
Trend: Upward
Buy at 89.62 SL 89.32 TP 90.02


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