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Wednesday, February 20, 2013

$USDJPY

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

Stochastics and the RSI are bullish hinting that a short-term low might be in or is near. Closes above the 20-day moving average crossing at .10869 are needed to confirm that a short-term top has been posted. If March renews the decline off September's high, monthly support crossing at .10532 is the next downside target. 

First resistance is the reaction high crossing at .10846. 
Second resistance is the 20-day moving average crossing at .10869.

First support is last Monday's low crossing at .10588. 
Second support is monthly support crossing at .10532.