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Corrective Cycle

USDJPY TECHS
  • RES 4: 140.00 Round number resistance
  • RES 2: 139.68 20-day EMA
  • RES 3: 138.12 High Dec 1
  • RES 1: 137.68 Low Nov 15 and a recent breakout level
  • PRICE: 137.17 @ 06:39 GMT Dec 6
  • SUP 1: 133.63 Low Dec 2 and the bear trigger
  • SUP 2: 132.56 Low Aug 15
  • SUP 3: 131.08 1.00 proj of the Oct 31 - Nov 15 - 21 price swing
  • SUP 4: 130.41 Low Aug 2

The short-term trend condition in USDJPY remains bearish, however, the pair has entered a corrective cycle following the recovery from last Friday’s low. This is allowing an oversold trend condition to unwind. An extension higher would open 139.68, the 20-day EMA. This average is seen as the first key short-term resistance. On the downside, the bear trigger is 133.63, the Dec 2 low. A break would confirm a resumption of the downtrend.

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