USDJPY Analysis – Oct 22, 2008

USDJPY is forming a sideways consolidation in a range between 97.91 and 103.06. A cycle top has been formed at 103.06 level on daily chart and deeper decline to retest 95.77 (Mar 17 low) is now in favor after consolidation.

For long term analysis, USDJPY formed a cycle top at 110.66 on weekly chart. Pullback towards 95.77 (Mar 17 low) to reach next cycle bottom is now in favor. In a bigger picture, the pair formed a long term cycle bottom at 95.77 on monthly chart and is in long term bullish movement. Further rise towards 120.00 is still possible after testing 95.77 level.

usdjpy daily chart