FxWirePro: USD/JPY upside stalls shy of 103 handle, bias higher, stay long
Wednesday, October 5, 2016 2:11 AM UTC
- USD/JPY upside stalls shy of 103 handle, momentum still with the bulls.
- The pair finds strong support by hourly 20-MA at 101.67, some weakness seen on break below.
- PM Abe on the wires earlier today, said he is not thinking at all of calling an early election, yen-market reaction muted thus far.
- We see some consolidation ahead of the next directional move. US non-farm payrolls due Friday will likely be the main catalyst.
- Our previous call (http://www.econotimes.com/FxWirePro-USD-JPY-momentum-turns-bullish-good-to-go-long-on-dips-330874) has hit TP12.
- We recommend booking partial profits, raise trailing stop to 101.65 and hold for targets.
- Major support levels - 101.80 (trendline), 101.65 (20-DMA), 101.57 (Oct 4th low)
- Major resistance levels - 103, 103.23 (weekly 20-MA), 103.73 (100-DMA)