FxWirePro: USD/JPY interim rallies stuck in range, momentum oscillators signal overbought pressures, major non-directional trend to puzzle

The bears resume on failure swings at stiff resistances of 114.339 levels, more slumps likely as momentum turned into bearish.

Failure swings at stiff resistance at 118.796 but current prices attempting to bounce back above EMAs, don't expect sharp rallies as major trend seem to be non-directional. Thereby, it seems that the pair is back in the same range that was stuck in January to March. While the uptrend is backed by the major fundamental driver of Fed’s hiking hints.

Huge volumes are formed on slumping as well as spiking prices which have led to a conviction of the major non-directional trend.

For now, the current prices have been attempting to dip below DMAs on daily charts, don't expect sharp rallies nor a steep slump as it is on the verge dipping below DMAs with bearish momentum, and it is better to devise trading plans for the day that favfavorsars.

RSI on daily term signals losing strength in previous buying interests as it converges to the mild sideways to downswings, while Stochastic has been indecisive but momentum in buying sentiments has been absolutely shrunk away.

While the FxWirePro currency strength index for the dollar has been slightly weaker despite relinquishing its gain yesterday, while JPY has been neutral by flashing unchanged numbers for the day sensing some sort of gaining traction ahead of housing and industrial production prints.

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Trading tips:

Well, as a result of above technical reasoning, on speculative grounds we advise tunnel spreads for the day which are binary versions of the debit put spreads.

This strategy is likely to fetch leveraged yields than spot FX and certain yields keeping upper strikes at 113.953 and lower strikes at 113.249 levels.