Back
30 Nov 2015
USD/JPY: market to test the upside - BBH
FXStreet (Guatemala) - Analysts at Brown Brothers Harriman explained that the dollar tested the lower end of its new trading range against the yen in recent days.
Key Quotes:
"A trading range between roughly JPY122 and JPY124 has been carved out over the past two and a half weeks. This sideways movement was enough to push the five-week moving average below the 20-day average.
The rule of alternation says that after a test on the lower end of a range, the next move is a test on the upper end. The close above the short-term trendline drawn off the November 18 highs (~JPY122.70) give some immediate technical credence to this scenario. "
Key Quotes:
"A trading range between roughly JPY122 and JPY124 has been carved out over the past two and a half weeks. This sideways movement was enough to push the five-week moving average below the 20-day average.
The rule of alternation says that after a test on the lower end of a range, the next move is a test on the upper end. The close above the short-term trendline drawn off the November 18 highs (~JPY122.70) give some immediate technical credence to this scenario. "