Technical analysis for USDJPY on 03.09.13

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Technical analysisThe USD/JPY has crossed the descending trend line (weekly) and a strong resistance level of 99.15. The momentum is positive.

Direction

Period

Expected price dynamics

Price movement corridor

↑↓

2 days

≈120 pips

Max. 101.25

Min. 97.65

USDJPY technical analysis on 03.09.13

Technically, according to the 161.8 Fibonacci level, in the next few days, the pair is expected to rise from the maximum at 99.15 to the resistance level of 100.65, but first the price should break above the resistance level of 99.90.

Given that recently the U.S. dollar has strengthened against the basket of currencies, the USD/JPY may continue its rise.

Alternative forecast

USDJPY technical analysis on 03.09.13

The price may stop for a while around the oblique resistance line of 99.90 and the resistance level of 99.75, then consolidate or retest these levels.

In case of upcoming downward correction, the fall targets will be set at the uptrend line and the support level of 99.15. Breaching the uptrend line will indicate that the rise has stopped for a while and may pullback down to the support level of 98.40.

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Hello, my name is Artem. If you ask me “Why have you chosen Forex?”, I would quote a legendary bestseller “Trading for a Living” written by Alexander Elder – the greatest trader of all time: “You can be free. Live and work in any corner of the globe. You can set aside everyday troubles and be free from all bosses. This is the life of a successful trader”(a small step aside.) Now I will tell you a few words about myself: I have a two-year experience of Forex trading. I also have a trading certificate confirming that I have passed a course called “Theory and practice of international financial markets” held by a private consulting company. Currently, I’m trading in a foreign exchange market and reading books written by successful world traders. I believe only in technical analysis, as it is based on crowd psychology, while the crowd behavior is primitive.