USDJPY awaits the negative motive – Analysis - 17-01-2017

The USDJPY pair continues to fluctuate around the key support 113.97 without managing to confirm breaking it until now, noticing that the EMA50 forms negative pressure that supports the continuation of the bearish wave inside the minor channel that appears on chart, while stochastic loses its positive momentum clearly to reach the thresholds of the overbought areas.

Therefore, these factors reinforce the chances of breaking the above mentioned support followed by pushing the price to head towards our main targets that begin at 111.97 and extend to 109.90, taking into consideration that breaching 115.65 level will stop the expected decline and lead the price to recover on the intraday and short term basis.

Expected trading range for today is between 112.70 support and 115.00 resistance.

Expected trend for today: Bearish