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Recent Bull Cycle Considered Corrective

USDJPY TECHS
  • RES 4: 135.96 76.4% retracement of the Mar 8 - 24 bear leg
  • RES 3: 135.11 High Mar 15
  • RES 2: 134.75 61.8% retracement of the Mar 8 - 24 bear leg
  • RES 1: 133.87 High APr 10
  • PRICE: 133.38 @ 15:30 BST Apr 11
  • SUP 1: 131.83/130.64 Low Apr 10 / 5
  • SUP 2: 129.64 Low Mar 24 and the bear trigger
  • SUP 3: 128.09 Low Feb 2
  • SUP 4: 127.23 Low Jan 16 and key support

The trend direction in USDJPY remains down and recent short-term gains are considered corrective, despite Monday’s strong rally. However, attention is on resistance at 133.87, Monday’s high. A break of this level would strengthen a short-term bullish theme and highlight a clear breach of the 50-day EMA. This would open 134.75,a Fibonacci retracement. On the downside, a reversal lower would signal scope for a return to 130.64, the Apr 5 low.

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