USDJPY tests the key resistance – Analysis - 07-08-2017

The USDJPY pair rallied upwards strongly to test the key resistance 110.98 and keeps its stability below it, accompanied by witnessing negative overlapping signal through stochastic, noticing that the EMA50 keeps forming good resistance against the price, forming negative pressure on the intraday and short term trading.

Therefore, we expect to resume the main bearish track, and the targets begin by breaking 110.15 to confirm opening the way to target the previously recorded low at 108.80, being aware that breaching 110.98 will push the price to extend its intraday gains and head towards 112.32 before any new attempt to decline.

Expected trading range for today is between 109.50 support and 111.50 resistance.

Expected trend for today: Bearish