$USDJPY capped in the short term. ADP could fuel another rally.
Technical :
Resistance at 120.30 area is holding. (See related idea)
We are inside an ascending range bound pattern. Inching closer to the above trend line.
We are looking to initiate a long off any bounces off the trend line marked by the blue circle.
.
A key support is still at 118.20 area..
A long-term bullish bias is favored from the technical and fundamentals side.
A break of the top resistance line signals a rise to 124.00 area.
Fundamentals:
This weakness is caused by soft car sales data from US car manufactures . (Flight to safe heaven currency - JPY) This does not change the bullish sentiment of the pair in the long term.
More can give leeway to a buying opportunity.
Bullish Bias still remains for the pair as the headlines coming out of Japan, point out there economy troubles have not subsided.
The United States is still a path to rate hikes in 2015.
We can look for ADP and Initial Claims numbers for more insight.
We saw weaker ISM data early in the week but the market brushed it off.
Resistance at 120.30 area is holding. (See related idea)
We are inside an ascending range bound pattern. Inching closer to the above trend line.
We are looking to initiate a long off any bounces off the trend line marked by the blue circle.
.
A key support is still at 118.20 area..
A long-term bullish bias is favored from the technical and fundamentals side.
A break of the top resistance line signals a rise to 124.00 area.
Fundamentals:
This weakness is caused by soft car sales data from US car manufactures . (Flight to safe heaven currency - JPY) This does not change the bullish sentiment of the pair in the long term.
More can give leeway to a buying opportunity.
Bullish Bias still remains for the pair as the headlines coming out of Japan, point out there economy troubles have not subsided.
The United States is still a path to rate hikes in 2015.
We can look for ADP and Initial Claims numbers for more insight.
We saw weaker ISM data early in the week but the market brushed it off.
