- USD/JPY 15-min: This is a followup on the earlier update on USD/JPY. The market did break below 91.50, hit 91.00 and found minor support there. Now a rebound, which could be a pullback is forming. Look for topping action as it approaches 50% around 92.50. It already has found minor resistance at 91.77 (38.2%). bit another minor attempt can be anticipated. Also, even if the decline from 91.30 is a correction, there could be a nother swing expected towards the 89.70 (78.6%) area in the near-term.
- But if the currecnt rally goes above 92.36 (61.8%), we may be back into a bullish mode in the short-term to head towards 94.00.
- EUR/USD 15-min: This is a followup on the earlier update on EUR/USD. The EUR/USD broke below the rising support, for a counter trend breakout signal, suggesting a bearish continuation. However, minor support was found at 1.2610, and a rally is developing.
- If this rally goes closes above 1.2725 (61.8% retracement), our bearish outlook is in trouble. But if the current rejection near 78.6% retracement holds, a negative RSI reversal suggests a swing projection to 1.2570 in the near-term.
- It is hard to imagine that yesterday’s move was glitch-induced and not mainly based on a bigger reason for panic. That is why I remain bearish for USD/JPY and EUR/USD in the short-term.
Fan Yang
Currency Analyst
Commodity Trading Advisor
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