Key Highlights
- USD/JPY is attempting a recovery wave from the 146.50 support.
- A key rising channel is forming with support at 147.50 on the 4-hour chart.
- Crude oil prices surged above the $80.00 resistance zone.
- Gold prices are consolidating near the $2,150 zone.
USD/JPY Technical Analysis
The US Dollar declined heavily below the 148.00 zone against the Japanese Yen. USD/JPY found support near 146.50 and recently started a fresh increase.
Looking at the 4-hour chart, the pair is attempting a recovery wave above the 147.00 level. There was a move above the 23.6% Fib retracement level of the downward move from the 150.84 swing high to the 146.47 low.
However, the pair is still well below 148.50, the 100 simple moving average (red, 4-hour), and the 200 simple moving average (green, 4-hour). On the upside, the pair could face resistance near the 148.30 level.
The first major resistance is now forming near 148.50. The main resistance is near 149.20. A close above the 149.20 zone could open the doors for more upsides. The next stop for the bulls might be 150.00.
Immediate support is near the 147.50 level. There is also a key rising channel forming with support at 147.50 on the same chart. The next major support is at 147.20. If there is a downside break below the 147.20 support, the pair could decline toward the 146.50 support.
Looking at Oil, there was a strong move above the $80.00 resistance and there are chances of more upsides in the near term.
Economic Releases
- NY Empire State Manufacturing Index for March 2024 – Forecast -7, versus -2.4 previous.
- Michigan Consumer Sentiment Index for Nov 2024 (Prelim) – Forecast 76.9, versus 76.9 previous.
