USDJPY Analysis – Aug 27, 2008

USDJPY traded in range between 108.13 and 110.66. Pullback towards the lower boundary of the price channel to reach next cycle bottom on daily chart would more likely be seen before breaking above 110.66 level. However, a break above 110.66 will signal further rally towards 113.00-50 area.

For long term analysis, USDJPY formed a long term cycle bottom at 95.77 (Mar 17 low) on monthly chart and is now in long term up trend. Further rise towards 120.00 is in favor.

usdjpy daily chart