Forex technical analysis: USDJPY sprints to resistance and stalls
Could not get below support. Buyers took over.
And not surprisingly, the USDJPY is also on the move (to the upside).
For the EURUSD the price moved above the 1.1465 and looked to test the 1.1488 high from last week.
For the EURJPY the price spiked higher but stalled at the 100 and 200 hour MAs at 129.43-46.
For the USDJPY (see chart above), the pair needed to crack 112.31 (see earlier post) to the downside (38.2% retracement), but could not do it. The price moved higher and then took off. Where did it go? Right to a resistance area defined by swing levels and the 100 bar MA on the 4-hour chart (see yellow area in the chart above at 112.815-93). The 100 bar MA on the 4-hour chart comes in at 112.849. The rally has stalled against the resistance level.
Looking at the three pairs technically...
- The EURUSD moved to the high from last week and stalled
- The EURJPY moved to the 100 and 200 hour MA and stalled.
- The USDJPY moved to the resistance ceiling and stalled.
Lots of overheard resistance is making it tough for the pairs.