USD/JPY 90.47 – 3 February 2010

USD/JPY Open 90.45 High 90.91 Low 90.09 Close 90.37
Dollar/Yen is trading this week in within the 89.78 – 90.91 range. On Wednesday the currency couple declined from the above upper limit, closing the day at 90.37. We will be looking for a persuasive break out of the range to get clearer direction. On the 1 hour chart we see a wide downward channel, and a smaller rising channel, staring 27 January. Break above 90.91 may strengthen the Dollar further towards 91.79. Going bellow 89.78 may give the bears further leading positions. Prices are currently under the 50, and just crossing up the 20 EMA, signaling for uncertain market. The RSI indicator is in the overbought zone, MACD is neutral, while CCI is rising on the 1 hour chart. Overall, indicators give insignificant advantage to bears.
Technical resistance levels: 90.91 91.79 92.43
Technical support levels: 90.09 89.21 88.30

Trading range: 90.60 – 89.95
Trend: Downward
Sell at 90.47 SL 90.77 TP 90.07

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