USD/JPY Technical Analysis 31 May 2011

By @ibtimes on

USD/JPY 81.50 - 31 May 2011

USD/JPY Open 80.87 High 81.77 Low 80.69 Close 80.92

On Monday Dollar/Yen traded quietly within 40 pip range, not matching the positive Interbank sentiment at over +19%. The currency couple appreciated from 80.69 to 81.03 yesterday, closing the day at 80.92. This morning the Dollar strengthened against the Yen, rising up to 81.77. On the 1 hour chart range trading is forming, while on the 3 hour chart trading is within wider range. Break above today's top and nearest resistance 81.77 would encourage further recovery of the Dollar. Immediate support is yesterday's bottom at 80.69, and consistent break bellow it could strengthen the Yen further down towards next target 79.80. Today were Japan Housing starts and Construction orders, both at 5 GMT. Quotes are moving way above the almost even 20 and 50 EMA on the 1 hour chart, indicating strong bullish pressure. The value of the RSI indicator is positive and calm, MACD is positive and inclining upwards, while CCI has crossed up the 100 line on the 1 hour chart, giving overall long signals.
Technical resistance levels: 81.77 82.60 83.51
Technical support levels: 80.69 79.80 79.00

Trading range: 81.40 - 82.00
Trend: Upward
Buy at 81.50 SL 81.20 TP 81.90

Already made +50 pips profit on USD/JPY today from the following signal:
5:30 GMT+1 Buy USD/JPY at 81.15 SL 80.89 TP 81.65, TP reached at 8:05 GMT+1.
Total today +175, yesterday +76, as shown in details at http://www.zifx.com/performance.php.

ZIFX.com

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