Forex: USD/JPY Technical Analysis – Triangle Confirmation Pending

DailyFX

To receive Ilya's analysis directly via email, please SIGN UP HERE

Talking Points:

  • USD/JPY Technical Strategy: Flat
  • Support: 101.40 (Triangle floor)
  • Resistance:102.89 (Triangle top), 103.75-104.14 (Mar 7 high, 38.2% Fib exp.)

The US Dollar launched a recovery against the Japanese Yen as expected after prices produced a bullish Piercing Line candlestick pattern. On the whole, price action appears to be tracing out a Triangle chart pattern and hinting at upside trend continuation. A break above the Triangle top (now at 102.89) exposes the March 7 high at 103.75, followed by the 38.2% Fibonacci expansion at 104.13. Support is seen at the pattern’s bottom, now at 101.40.

Confirmation of the Triangle pattern requires a daily close above the formation’s upper boundary. We will wait for that to materialize to look for a long trade opportunity.

Confirm your chart-based trade setups with the Technical Analyzer. New to FX? Start Here!

View photo

.
dailyclassics_usd-jpy_body_Picture_11.png, Forex: USD/JPY Technical Analysis – Triangle Confirmation Pending

Daily Chart - Created Using FXCM Marketscope 2.0

--- Written by Ilya Spivak, Currency Strategist for DailyFX.com

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.
Learn forex trading with a free practice account and trading charts from FXCM.

Rates

View Comments (0)