FOREX Technical Analysis: USD/JPY Forms Inside Day at 2012 High

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FOREX_Technical_Analysis_USDJPY_Forms_Inside_Day_at_2012_High_body_usdjpy.png, FOREX Technical Analysis: USD/JPY Forms Inside Day at 2012 High

Chart Prepared by Jamie Saettele, CMT

FOREXAnalysis: As focused on in FX Technical Weekly, price has completed an impressive inverse head and shoulders pattern. A test of the broken neckline (as support) would present an opportunity to play the longer term break against 8172 (December low). That line crosses above 8310 this week. Former resistance at 8283 is potential support. Keep an eye on the 20 day average for support as well (currently at 8252).

FOREXTrading Strategy: The USDJPY is within several pips of Sunday’s high. A clean break would open up the potential for a move to 8550 (April 2011 high, channel resistance, and 100% extension).

LEVELS: 8211 8282 8331 8431 8480 8552

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