USDJPY Price Analysis: Marches towards 147.00 inside short-term triangle
- USDJPY snaps two-day losing streak as it picks up bids inside fortnight-old symmetrical triangle.
- Bearish MACD, sustained trading below 21-day EMA keeps sellers hopeful.
- Buyers remain off the table unless crossing the 149.00 hurdle.
USDJPY prints the first daily gains in three around 146.65 during Tuesday’s Asian session. In doing so, the Yen pair extends the previous day’s rebound from a support line of the two-week-old symmetrical triangle.
The recovery moves need to cross the 21-day EMA, around 147.10 by the press time, to lure the USDJPY buyers. Even so, the bearish MACD signals challenge the upside moves.
That said, the stated triangle’s upper line, close to 148.10, holds the key for the USDJPY bull’s welcome while multiple hurdles near 149.00 could act as the last defense for bears.
In a case where USDJPY rises past 149.00, the 150.00 psychological magnet and the latest multi-year top near 151.95 will be in focus.
Meanwhile, the aforementioned triangle’s support line, close to 146.20 at the latest, precedes the 50% Fibonacci retracement level of the pair’s upside from late September to October, around 146.15, to restrict short-term USDJPY downside.
It’s worth noting, however, that a convergence of the 50-day EMA and the 61.8% Fibonacci retracement level near 144.75-85 appears a tough nut to crack for the pair bears.
Overall, USDJPY stays on the bear’s radar unless staying below 149.00.
USDJPY: Daily chart
Trend: Limited recovery expected