USDJPY Eyes February Double Bottom After Breaking 113.25 Support
The USDJPY bulls failed to hold prices above the 113.25 handle on Friday. I mentioned this level on Thursday as one that stood in the way of downside targets.
With the pair now well below this mark on a weekly closing basis, any retest of 113.25 will likely encounter selling pressure. I wouldn’t be surprised to see a reversion to this level given the fact the pair is now more than 100 pips below the mean as measured by the 10 and 20 EMAs.
The February double bottom at 111.70 outlines key support for the week ahead. This is a must hold level for buyers as a daily close below it would pave the way for a move toward the 110.00 area.
For now, I’ll remain on the sideline to watch what transpires if and when 113.25 gets challenged as new resistance.
With the pair now well below this mark on a weekly closing basis, any retest of 113.25 will likely encounter selling pressure. I wouldn’t be surprised to see a reversion to this level given the fact the pair is now more than 100 pips below the mean as measured by the 10 and 20 EMAs.
The February double bottom at 111.70 outlines key support for the week ahead. This is a must hold level for buyers as a daily close below it would pave the way for a move toward the 110.00 area.
For now, I’ll remain on the sideline to watch what transpires if and when 113.25 gets challenged as new resistance.