SGD/JPY may fall 52 - 75 pips

Our pivot point stands at 116.35.

Our preference

The downside prevails as long as 116.35 is resistance.

Alternative scenario

Above 116.35, look for 116.74 and 116.98.

Comment

The RSI is below 30. It could either mean that the pair is in a lasting downtrend or just oversold and therefore bound to retrace (look for bullish divergence in this case). The MACD is negative and below its signal line. The configuration is negative. Moreover, the price is trading under both its 20 and 50 period moving average (respectively at 116.36 and 116.51). Finally, the SGD/JPY has penetrated its lower Bollinger band (115.95).

Supports and resistances

116.98 **

116.74 *

116.35 **

116.19

115.90 last

115.38

115.15 **

114.92 *

114.68 **

Number of asterisks represents the strength of support and resistance levels.