November 21, 2013 – USD/JPY (daily chart) has continued to push higher after having hit and exceeded its 100.00 price objective. In doing so, the currency pair has tentatively emerged from its 5-month trading range consolidation, which can also be considered a large triangle pattern. The current advance provides an indication of what may become a continuation of the bullish trend that has been in place since September 2012. An uptrend continuation would clearly be confirmed on a breakout above the 103.72 multi-year high, which was established in May. Having broken out above the triangle consolidation pattern and the major 100.00 barrier, USD/JPY could now be poised to target the 103.00 resistance level and then a re-test of the noted 103.72 multi-year high. Key downside support now resides around the 99.00 level.
James Chen, CMT
Chief Technical Strategist
City Index Group
Forex trading involves a substantial risk of loss and is not suitable for all investors. This information is being provided only for general market commentary and does not constitute investment trading advice. These materials are not intended as an offer or solicitation with respect to the purchase or sale of any financial instrument and should not be used as the basis for any investment decision.
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