All our long targets which we predicted in our previous analysis has been hit. USD/JPY is still expected to continue the upward movement. The pair is holding on the upside and is trading above its rising 50-period moving average, which plays a support role. The relative strength index is above its neutrality level and lacks downward momentum.
Hence, as long as 110.25 holds on the downside, look for a further advance with targets at 110.90 and 111.30 in extension.
Alternatively, if the price moves in the opposite direction, a short position is recommended below 110.25 with a target at 110.90.
Chart Explanation: The black line shows the pivot point. The current price above the pivot point indicates a bullish position, while the price below the pivot point is a signal for a short position. The red lines show the support levels and the green line indicates the resistance level. These levels can be used to enter and exit trades.
Strategy: BUY, Stop Loss: 110.25, Take Profit: 110.90
Resistance levels: 110.90, 111.30, and 111.80 Support Levels: 109.90, 109.60, 109.05
The material has been provided by InstaForex Company - www.instaforex.com