USD/JPY may rise 70 - 104 pips

156.52 is our pivot point.

Our preference

Look for a drop towards 156.52 before a bounce.

Alternative scenario

The downside breakout of 156.52 would call for 155.95 and 155.60.

Comment

The RSI is above its neutrality area at 50. The MACD is negative and below its signal line. The penetration of 50 on the RSI should trigger further losses. Moreover, the price is trading above both its 20 and 50 period moving average (respectively at 157 and 156.97).

Supports and resistances

158.73 **

158.39 *

158.05 **

157.71

157.01 last

156.75

156.52 **

155.95 *

155.60 **

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