USDJPY retests – Analysis - 06-03-2018

The USDJPY pair traded with clear positivity yesterday to retest the previously broken support line that turns into key resistance now at 106.35, accompanied by witnessing clear overbought signals through stochastic, while the EMA50 forms negative pressure against the intraday and short term trades.

Therefore, we believe that the chances are valid to rebound bearishly and resume the bearish trend in the upcoming sessions, and the targets begin at 105.54 and extend to 104.31, taking into consideration that breaching 106.35 will push the price to achieve gains that start at 107.40 and extend to 108.53 after breaching the previous level.

Expected trading range for today is between 105.54 support and 107.00 resistance.

Expected trend for today: Bearish