Forex: USD/JPY falls towards 92.82/84

FXstreet.com (Barcelona) - The meteoric climb of the USD/JPY was finally slowed overnight, topping out at 99.68 after a notable run. Since then however, the pair has pulled back during European trading, perhaps signaling a pause to a rally that until earlier seemed virtually unstoppable. At the time of writing, the cross is trading at 92.82/84, down -0.55% from its opening.

According to Research Analyst Gareth Berry at UBS, “Moving forward, the USD/JPY remains bullish as it extends its strength, posting new recovery highs and after approaching resistance at 99.875 ahead of 101.45. Should a pullback or correction occur, support is at 97.57.”

“The USD/JPY is trading around 161.8% Fibonacci at 99.25, meanwhile RSI is showing great overbought signals making the bearish rebound valid if the pair stabled below 99.25. Ultimately, the pair is stable above key resistance level of the ascending channel forcing us to prefer being neutral today to see the pair’s reaction towards 99.25 levels.” notes the ICN.com analyst team.