USD/JPY 85.77 - 16 August 2010

USD/JPY Open 86.13 High 86.37 Low 85.60 Close 86.15

On Friday Dollar/Yen increased, recovering from the morning's losses, in line with the positive Interbank sentiment at nearly +20%. The currency couple appreciated from 85.60 to 86.37 on Friday, closing the week at 86.15. Today downward trend has resumed. On the 1 hour the downward channel is on hold, and on the 3 hour chart quotes are testing the upper limit of the the downward channel. Break above Friday's top and nearest resistance 86.37 would support further recovery of the Dollar. Immediate support is Friday's bottom at 85.60, and consistent break bellow it could strengthen the Yen further down towards next target 84.78. There are no major economic events for Japan today. Quotes are moving bellow the 20 and 50 EMA on the 1 hour chart, indicating bearish pressure. The value of the RSI indicator is negative and declining, MACD is neutral and declining, while CCI has crossed down the 100 line on the 1 hour chart, giving overall short signals.
Technical resistance levels: 86.37 87.30 88.50
Technical support levels: 85.60 84.78 84.00

Already made +14 pips profit on USD/JPY today from the following signal:
5:03 GMT+1 Sell USD/JPY at 85.81 SL 85.55 TP 86.31 exit sent at 7:51 GMT+1.
Total today +174, on Friday +115, as shown in details at