- USD/JPY corrected higher from the 133.60 zone.
- A crucial bearish trend line is in place with resistance near 137.50 on the 4-hours chart.
- EUR/USD and GBP/USD are consolidating gains above support zones.
- Gold price might aim a fresh increase towards the $1,825 resistance.
USD/JPY Technical Analysis
The US Dollar started a major decline below the 142.00 support against the Japanese Yen. USD/JPY traded as low as 133.61 before it started an upside correction.
Looking at the 4-hours chart, the pair corrected above the 135.00 resistance zone. There was a move above the 50% Fib retracement level of the downward move from the 139.89 swing high to 133.61 low.
However, the pair faced a strong resistance near the 137.50 zone and it stayed below the 100 simple moving average (red, 4-hours), and the 200 simple moving average (green, 4-hours). There is also a crucial bearish trend line in place with resistance near 137.50 on the same chart.
On the upside, the pair is facing resistance near the 137.50. The next major resistance may perhaps be near 138.50 and the 100 simple moving average (red, 4-hours). A clear move above the 138.50 resistance might start another decent increase.
In the stated case, USD/JPY may perhaps test 140.00. Any more gains could set the pace for a move towards the 142.50 resistance zone.
If there is no upside break, the pair might start a fresh decline. An initial support is near the 136.00 level. The next major support is near the 135.00 zone. Any more losses might send the pair towards the 133.60 support zone.
Looking at gold price, the bulls are seen active and there are chances of a fresh increase towards the $1,825 resistance zone.
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