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Thursday, October 11, 2012

$USDJPY

$USDJPY closed higher on Wednesday. The high-range close sets the stage for a steady to higher opening when Thursday's night session begins trading. 

Stochastics and the RSI are turning bullish signaling that additional gains are possible. If December renews the rally off August's low, the reaction high crossing at .12922 is the next upside target. Closes below the reaction low .12631 would confirm that a short-term top has been posted. 

First resistance is the reaction high crossing at .12922. 
Second resistance is September's high crossing at .12977. 

First support is the reaction low crossing at .12631. 
Second support is August's low crossing at .12565.