By: Colin Jessup
The Japanese Yen appears set to head lower after its high in Wednesday's trading intersected perfectly with a descending trend-line from mid-March. Price closed below the Weekly Pivot at 81.22 on April 10, retraced exactly 38.2% and is now pushing lower again. There are hurdles below however with support coming from the DMA 62 @ 81.07 and the Daily S1 at 81.02. If the DS1 is broken look for price to test the 30 day low at 80.85 before heading to the DS2 at 80.74. Should price reverse and turn more Bullish, look for Resistance at the Daily Pivot of 81.35 and Daily R1 at 81.64. Longer term we have the Weekly S2 at 79.74 and Weekly R1/50% retracement level at 82.20. Barring any intervention by Japanese officials, this pair is likely to continue its decent, at least for the near future.
Happy Trading!