Bulls making a play for a break of the recent highs
The USDJPY has been non-trending over the last 6 trading days. Looking at the daily chart, that consolidation has been above a broken trend line. Bullish. The not so great is you kinda expect the break of the trend line to have pushed away from now toward the other upside targets (including the 38.2% at 108.468 – see chart below).
The price is approaching the 6 day high at 107.48. A break above is more bullish and should see more momentum.
Looking at the hourly chart below, the pair has moved above a topside trend line at 107.33. The high took out the week’s high price at 107.393, but stalled ahead of the aforementioned 6 day high at 107.486.
Buyers are making a play and it is up to the buyers to make the next break and run. I give the advantage to the buyers, but should the run to the highs stalls, and the broken trend line on the hourly gives way, the buyers now could easily give up.
Key move…. Can it run?
Stocks and bonds are helping.
- Major indices are up 1% or more.
- Bond yields are higher by +2.4 to 3.5 basis points. 10 year 2.815% after dipping to 2.769% low.