Technical Analyst, Saxo Bank
Summary: Mixed trends on JPY pairs:
USDJPY in uptrend, eyeing 146.60 and 148 levels
EURJPY above key strong resistance at 158, eyeing 160-162 levels
AUDJPY in corrective downtrend. Could be caught range bound
GBPJPY above key resistance. Could rally to 188-189
USDJPY has broken above key resistance at around 145 continuing its uptrend. RSI is showing positive sentiment with no divergence supporting the bullish view of a possible move to the 1.382 projection at 148.
Weekly chart USDJPY is continuing in its rising channel closing in on the 0.786 retracement at 146.60 where a correction could be seen.
If USDJPY slides back below 141.50 the uptrend picture has been demolished.
EURJPY has after several attempts broken above the 158 strong resistance.
RSI is back above the 60 threshold indicating higher EURJPY levels.
There is no strong resistance until around 169 but, whether it will reach that level not seen since 2008 is debatable.
A short-term target would be the 1.382 projection at 160.60 would be more likely. However, a push to the 1.618 projection at around 162.15 is in the cards
A close below 155.50 could push USDJPY back down to 152.50-152.00
AUDJPY is rejected at the 55 daily Moving Average and the upper falling trendline.
If the JPY cannot close above the trendline the bearish correction is likely to continue with another attempt at the support at around 91.75.
A close above the falling trend line the resistance at 95.85 would be key. A close above 95.85 is needed for AUDJPY to turn bullish with potential to take out the June peak at around 97.67.
The positive RSI is indicating AUDJPY could reverse its short-term corrective picture but RSI needs to close above 60 threshold to confirm that. First indication of that scenario to unfold would be if RSI is closing above its falling trendline and AUJPY is closing above its falling trendline
A more likely scenario is that AUDJPY will be caught range bound between 92 and 95 next 1-2 weeks.
GBPJPY has broken above its resistance at around 184. The JPY pair seems set for a move to the 1.618 projection and strong resistance at around 188.80. a resistance level that goes back to 2016
RSI is back above the 60 threshold supporting the bullish picture.
If GBPJPY closes below 180.15 the bullish picture is demolished
Quarterly Outlook
Chief Investment Strategist
Quarterly Outlook
Head of Fixed Income Strategy
Quarterly Outlook
Chief Investment Strategist
Quarterly Outlook
Chief Investment Strategist
Quarterly Outlook
Head of Commodity Strategy
Quarterly Outlook
Chief Investment Strategist
Quarterly Outlook
Chief Investment Strategist
Quarterly Outlook
Chief Investment Strategist
Quarterly Outlook
Head of Fixed Income Strategy
Quarterly Outlook
Head of Commodity Strategy