Forex Technical Update June 29, 2010 USD/JPY Support to be Tested by Yen Strength
- Daily and Weekly: The USD/JPY was projected to go to the 88.30 level in the beginning of June. After an engulfing pattern, the daily RSI showed a negative reversal (When the RSI made a higher high, but the price action did not).
- The 88.30 is a swing projection, but really, the support is 88, and below. 88 is the upper bound of the support zone, and 85.0 area is the lower bound.
- The daily time-frame shows very bearish momentum as the RSI is breaking below 30. This tells me to not respect the 88 support. This makes me anticipate a decline towards the 84.80 low of 2009.
Fan Yang Currency Analyst Commodity Trading Advisor
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