Technical analysis of USD/JPY for October 19, 2017

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USD/CHF is under pressure and expected to continue the downside movement. The downward momentum is further reinforced by both declining 20-period and 50-period moving averages. The relative strength index is bearish, calling for another downside.

To conclude, below 112.85, look for a new challenge with targets at 112.10 and 111.85 in extension.

Alternatively, if the price moves in the opposite direction, a long position is recommended above 112.85 with a target at 113.15.

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: SELL, Stop Loss: 112.85, Take Profit: 112.10

Resistance levels: 113.15, 113.45 and 113.75 Support Levels: 112.10, 111.85, 111.25

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