USD/JPY 89.67 – 5 February 2010

USD/JPY Open 89.34 High 91.06 Low 88.86 Close 88.99
Dollar/Yen hesitant trading continued on the 1 hour chart. On Thursday the Dollar weakened against the Yen and fell from 91.06 to the 88.86 bottom, closing the day at 88.99. The descending is a continuation of the the big and wide downward channel seen on the 3 hour chart, staring 8 January. This morning, however, the Dollar struck back and the currency couple started unconvincing correction. Persuasive break above 91.06 may strengthen the Dollar further towards the top from 21 January 91.80. Going bellow yesterday’s bottom 88.86 may give the Yen further gains. Prices are currently bellow the 50, and just crossed up the 20 EMA, signaling for possible intraday appreciative adjustment, and continuation of the bearish trend in the short term. The RSI indicator is positive, MACD is slightly rising, while CCI is neutral with insignificant upward incline on the 1 hour chart. Overall, indicators give insignificant bullish pressure for the pair.
Technical resistance levels: 91.06 91.80 92.86
Technical support levels: 88.86 89.18 88.30

Trading range: 89.80 – 89.15
Trend: Downward
Sell at 89.67 SL 89.97 TP 89.27

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