Tuesday, March 5, 2019

USD/JPY - 05 March 2019


Fundamental Highlights

The Dollar/Yen turned negative as US equities were sharply lower in yesterday’s session, after reports of a possible impeachment of US President Trump, launched by Democrats over an "abuse of power" investigation. Earlier this morning, Japan's Markit services PMI released a better-than-expected numbers by printing 52.1 for February vs. 51.6 in January. Which helped the Japanese Yen to advance but it was quite limited as the Dollar bulls are still in control of the market sentiment.

Technical Analysis

The Dollar/Yen retested 111.70 (S1) and bounced off from it, as price is forming a base around that level. The bulls will be trying to break above 112 (R1) for a possible trend continuation towards 112.30 (R2). Alternatively, a break below 111.70 (S1), could take the USD/JPY back to 111.50 (S2).

Support: 111.7 / 111.5
Resistance: 112 / 112.30

Chart (H4)