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Bear Threat Remains Present

USDJPY TECHS
  • RES 4: 134.77/81 High Jan 6 / 23.6% Oct - Jan downleg
  • RES 3: 133.38 50-day EMA
  • RES 2: 132.87 High Jan 11
  • RES 1: 130.57/131.58 20-day EMA / High Jan 18
  • PRICE: 129.34 @ 16:48 GMT Feb 1
  • SUP 1: 128.36/127.23 Low Jan 20 / 16 and the bear trigger
  • SUP 2: 126.81 1.382 proj of the Oct 31 - Nov 15 - 21 price swing
  • SUP 3: 126.36 Low May 24 and a key support
  • SUP 4: 125.49 1.50 proj of the Oct 31 - Nov 15 - 21 price swing

USDJPY drifted lower Wednesday headed into the Fed decision. This keeps the trend direction down. Price is still trading below key short-term resistance at 131.58, the Jan 18 high and below the 20-day EMA, at 130.57. A resumption of weakness would open 126.81, a Fibonacci projection - the bear trigger is 127.23, Jan 16 low. For bulls, clearance of 131.58 would be a positive development, signal a short-term reversal and open 133.38, the 50-day EMA.

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