Published: 2024-05-02T13:18:18.000Z
Chart USD/JPY Update: Prices remain under pressure
Senior Technical Strategist
1
Cautious trade has given way to a fresh sharp fall
Levels | Imp | Comment | Levels | Imp | Comment | |||
---|---|---|---|---|---|---|---|---|
R4 | 158.44 | * | 29 Apr (w) high | S1 | 154.00 | * | congestion | |
R3 | 158.00 | * | congestion | S2 | 153.00 | * | 1 May low | |
R2 | 156.00 | * | congestion | S3 | 152.00 | ** | break level | |
R1 | 155.00 | * | congestion | S4 | 151.00 | * | break level |
Asterisk denotes strength of level
14:00 BST - Cautious trade has given way to a fresh sharp fall, with prices reaching 153.00 before bouncing smartly to retest 156.00. Current price action is balanced in choppy trade around 154.70, but daily readings are under pressure and overbought weekly stochastics are unwinding, suggesting potential for still further losses in the coming sessions. A break below congestion support at 154.00 will open up 153.00, with a further close beneath here confirming a near-term top in place at the 160.20 current year high of 29 April. Subsequent focus will turn to 152.00, with potential for still deeper losses. Meanwhile, a close above 156.00 will turn sentiment neutral and prompt consolidation beneath 158.00/44.