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Daily analysis of USD/JPY for January 04, 2018

USDJPYH4.png

Overview

The USD/JPY pair traded upwards yesterday testing the EMA50 that forms a good intraday resistance. Stochastic loses its positive momentum clearly reaching the thresholds of the overbought areas now, which forms a negative factor that we were waiting to motivate the price to decline again. This keeps the correctional bearish scenario active for the upcoming period with the price likely to test 111.90 levels initially. Therefore, the bearish trend will remain suggested for today; and a break of the targeted level will extend the bearish wave towards 111.00, while holding below 113.00 represents the most important condition to continue the expected decline. The expected trading range for today is between the 111.70 support and the 113.20 resistance.

The material has been provided by InstaForex Company - www.instaforex.com