USDJPY Price Analysis – May 26
When the bears exert more pressure to break down the support level of $108 and the daily candle close below the $108 level, it will decrease the price to $107 support level, further decrease will push price to $105.
Supply levels: $109, $111, $113
Demand levels: $108, $107, $105
USDJPY Long-term Trend: Bearish
USDJPY is bearish on the long-term outlook. There was no significant movement in the USDJPY market last week. Though the sellers still hold the market as the price remains below the two dynamic resistance. The price is ranging around the support level of $108 with more bearish force than that of the bulls.
The 9 periods EMA is interlocked with the 21 periods EMA and the pair is trading around the 9 periods EMA and 21 periods EMA indicating a consolidating market. When the bears exert more pressure to break down the support level of $108 and the daily candle close below the $108 level, it will decrease the price to $107 support level, further decrease will push price to $105. In case the bulls’ pressure interrupt the bears’ pressure ranging market may continue or the bullish movement may commence towards the resistance level at $109, $111 and $113.
USDJPY Medium-term Trend: Ranging
USDJPY is on the ranging movement on the 4-hour chart. The bears lose momentum and could not drive the price below the support zone of $108. The bulls’ pressure is equally weak and could not push up the price above the just mentioned level. The price is currently consolidating around the $108 zone.
The price is ranging and trading over and around the 9 periods EMA and the 21periods EMA, the Relative Strength Index period 14 is at 50 levels with the signal line pointing up to indicate a buy signal.