USD/JPY is expected to trade with bearish outlook as Key resistance at 113.00. The pair is rebounding from a low of 112.29 seen yesterday (December 18) but remains capped by the key resistance at 113.00. Currently, the pair is trading at levels around the 50-period moving average. The relative strength index stands above the neutrality level of 50, indicating that the rebound may proceed for a while.
However, as long as 113.00 is not surpassed, the intraday outlook remains bearish and the pair could return to 112.30 on the downside.
Alternatively, if the price moves in the opposite direction, a long position is recommended above 113.00 with a target of 113.15.
Chart Explanation: The black line shows the pivot point. The current price above the pivot point indicates a bullish position, while the price below the pivot point is a signal for a short position. The red lines show the support levels and the green line indicates the resistance level. These levels can be used to enter and exit trades.
Strategy: SELL, Stop Loss: 113.00, Take Profit: 112.30
Resistance levels: 113.15, 113.35 and 113.65 Support Levels: 112.30, 112.05, 111.70
The material has been provided by InstaForex Company – www.instaforex.com