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FxWirePro: Bearish bias builds in USD/JPY, good to short rallies

  • USD/JPY slips below 117 handle, intraday bias lower.
     
  • Technical studies have turned bearish:
    - RSI and Stochs have rolled over from overbought zone.
    - MACD has shown a bearish crossover on signal line.
     
  • We see scope for test of 20-DMA at 116.16. Break below could see further drag upto 114.75.
     
  • Support levels - 116.55 (session low), 116.15 (20-DMA), 116
     
  • Resistance levels - 117, 117.12 (5-DMA), 117.25 (session high), 117.81 (Dec 28 high)

Recommendation: Good to go short on rallies around 117, SL: 117.50, TP: 116.55/ 116.15/ 116
 

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