USD/JPY Sustains Strong Buying Pressure Above Level 104.00, Upward Move Likely

Key Resistance Levels: 111.000, 112.000, 113.000
Key Support Levels: 104.000, 103.000, 102.000

USD/JPY Price Long-term Trend: Bullish
The USD/JPY pair has been in a downward move since June. Since December 4, the Yen has resumed an upward move. The upward move is facing resistance at the 21-day SMA. A break above the 21-day SMA will accelerate price movement.

Daily Chart Indicators Reading:
The 21-day SMA and the 50-day SMA are sloping downward indicating the downtrend. The pair has fallen to level 46 of the Relative Strength Index period 14. This indicates that the Yen is in the downtrend and below the centerline 50.


USD/JPY Medium-term Trend: Bullish
On the 4-hour chart, the pair is making an upward movement of the pair. On October 8 uptrend, the upward was resisted but the retraced candle tested the 61.8% Fibonacci retracement level. This retracement indicates that the Yen will rise and reach level 1.618 Fibonacci extensions or the high of 104.35. Meanwhile, the second uptrend has resumed upward.

4-hour Chart Indicators Reading
The USD/JPY pair is currently above the 60% range of the daily stochastic. It indicates that the pair is in a bullish momentum. The SMAs are sloping upward indicating the uptrend.

General Outlook for USD/JPY
The USD/JPY pair has resumed upward move as there is strong buying pressure above level 104.00. The Fibonacci tool has indicated that the current upward move will reach level 1.618 Fibonacci extensions. That is at level 104.35.



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