USD/JPY: Long-term buy

12 JUL 2018

After weeks of low low trading dynamics, the bulls have finally – and convincingly – taken out the multi-year resistance around 112. A new primary uptrend has commenced targeting 114.10 at first and ~118+ thereafter.

Lots of potential and good support between 112 and 110.80, so down side risk is relatively limited. By far the best long-entry in the market for the next 3-6 months (and possibly longer).

  • Near term trend: positive
  • Long term trend: positive
  • Outlook: new primary uptrend, positive
  • Strategy: long-entry / buy-dips
  • Support: 112 / 110.80 / 107.70
  • Resistance: 112 / 114.10 / 118+
  • Outlook cancelled/neutralized: below 110.80

Weekly Chart US Dollar / Japanese Yen

18 JUN 2018

Prices are still hovering below the multi tested trend line of 2015 as well as Cloud resistance, roughly coinciding around the 112.10 area. Despite USD strength elsewhere, buyers have thus far failed to impress. We see no reason to adjust the cautious outlook at this point; we need to see a high conviction breakout well above 112 before any change in strategy is justifiable.

  • Long term trend: neutral
  • Outlook: recovery nearing resistance, uncertain
  • Strategy: avoid
  • Support: 107.70 / 104.65 / 100.40-
  • Resistance: 111.25 / 112 / 114.10+
  • Outlook cancelled/neutralized: n/a

Weekly Chart US Dollar / Japanese Yen