​Chart Of The Day: USDJPY follows rising wedge even as BOJ holds bearish bias

Thu, 31 Oct 2019 12:38

USDJPYDaily_31102019.png

With the US Fed's third straight rate-cut superseding the BOJ's bearish bias, USDJPY keeps nearly three-month-old rising wedge bearish formation intact. The pattern gets confirmed on the break of 107.90 support while 21-day SMA, at 108.25, can offer an intermediate halt during the declines. Given the quote's daily closing below 107.90, multiple stops around 106.70 and monthly low surrounding 106.50 will be on the bear's watchlist.

On the upside, a 200-day SMA level of 109.00 can keep the buyers checked unless forwarding them to 109.30/35 resistance-confluence including upper-line of the formation and 61.8% Fibonacci retracement level. Should there be a daily closing above 109.35, buyers targeting 110.00 and 110.70 will sneak into the floor.

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