(Chart courtesy of FX Solutions' FX AccuCharts. Price on 1st pane, Slow Stochastics on 2nd pane; horizontal support/resistance levels in yellow; uptrend lines in green; downtrend lines in red; chart patterns in white; 50-period simple moving average in light blue.)
4/29/2010 - USD/JPY - Price action on USD/JPY, a daily chart of which is shown, has continued to follow a rough uptrend support line extending from the early March low just above 88.00. More recently, after breaking out above a long-term parallel downtrend channel in late March, price shot up to reach a high just below 95.00 in early April. Finally, early last week price launched off the key 92.00 support region, and currently appears to be targeting the 95.00 area once again. The technical outlook on USD/JPY continues to appear bullish. A breakout above 95.00 should be a strong confirmation of an uptrend continuation. In the event of a substantial breakout above 95.00, further bullish momentum could begin to target further key resistance around the 98.00 price region.
James Chen, CMTChief Technical StrategistFX Solutions
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