Hello Traders,
USD/JPY is trading at key support 101.30-50 range. This support hasn’t been broken since February 2014 with attempt of 5 times. We prefer long term bullishness in favour of USD. you can clearly see from the chart that 200 days MA is also at this same support level at present. This 200MA hasn’t been broken since 21st Oct 2012. USA economy is on track and it’s growing consistently. On the other side Japanese economy is still need few more adjustment to fuel the economy. The short term weakness in US$ across major currency pairs won’t last longer as we believe. Because the fundamental is very attractive for bulls. So this could be a best opportunity to go long if this support holds. We target 102,103, 104, 104.50 and 105.50 please note these targets are for medium to long term trading opportunities.
Having said this if we break this support and 200MA, it could trigger heavy sell off and very bearish momentum towards down side. In that scenario we target 100.30, 99.50 and 99 respectively.
We wish you good luck with your trade.
