USD/JPY Technical Strategy: Flat
Support: 102.08 (38.2% Fib ret.), 101.59 (23.6% Fib ret.)
Resistance: 102.47 (50% Fib ret.), 102.85 (61.8% Fib ret.)
The US Dollar jumped to the highest level in a month against the Japanese Yen, securing a foothold above the 102.00 figure once again. A break above resistance at 102.47, the 50% Fibonacci retracement, exposes the 61.8% level at 102.85. Alternatively, a turn back below the 38.2% Fib at 102.08 opens the door for a challenge of the 23.6% retracement at 101.59.
Prices are too close to resistance to justify a long position from a risk/reward perspective. On the other hand, the absence of a confirmed bearish reversal signal warns against taking up the short side. We will remain flat for now.
Read more here: USD/JPY 03/06/2014