Bullish price action for the last two weeks on USD/JPY, a daily chart of which is shown, has formed a steep short-term uptrend within the context of a longer-term downtrend channel. Price has also just reached strong resistance in the 92.00 support/resistance region, and additionally, is approaching the approximate upper resistance border of the rough parallel downtrend channel. Momentum indications are showing signs that price on this currency pair may be close to overbought. For more technical analysis on this currency pair, please click here for Friday’s (10/23/2009) Chart of the Day.
- James Chen, CTA, CMT
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