- USD/JPY has strongly surged towards higher levels after the release of positive nonfarm payroll data and is bouncing above to test resistance level at 123.15, the support level at 122.52 set to hold the bears from falling further below and push the pair towards higher levels in the short term, as the US dollar is stronger across the board against Japanese yen. Therefore, long orders are recommended around 122.50 levels.
- Strong support can be seen at 121.91, a break below this level will expose the pair towards next support level located at 121.35.
- Major resistance can be seen at 123.51, a break above this level will open the gates towards 124.00 levels.
Recommendation: We prefer long above 122.40, targets 123.00, 123.50, SL 121.80.
Resistance Levels
R1: 123.15 (38.2% Retracement Level)
R2: 123.51 (Aug 21st high)
R3:124.00 (23.6% Retracement Level)
Support Levels
S1: 122.52 (50 % Retracement Level)
S2: 121.91 (61.8% Retracement Level)
S3: 121.35 (Nov 5th lows)
