FxWirePro: USD/JPY key resistance at 124.60, buy deals are recommended around 124.20

 

• USD/JPY is approaching to test support level at 124.24. The support level at 123.78 is massively strong and set to hold the bears from falling further below 123.78 levels. The pair is set to rebound around 124.00- 124.10 levels and is set to reach 124.50 and later 124.70 levels in the short term.

• Levels around 124.00- 124.10 should be taken as advantage for buying opportunities, As US dollar is expected to strengthen shortly against the Japanese Yen.

• Strong support can be seen at 123.78 (Aug 12th lows), a break below this level will expose the pair to next support level at 123.50 handle.

• Major resistance can be seen at 124.75 (38.2 % Retracement Level), a break above this level will open the door to 125.15 (23.6 % Retracement Level).

Recommendation: We prefer long above 124.20, targets 124.60, 125.00, SL 123.30.

Resistance Levels

R1: 124.60 (Aug 13th high)

R2: 124.75 (38.2 % Retracement Level)

R3: 125.15 (23.6 % Retracement Level)

Support Levels

S1: 124.24 (June 8^th lows)

S2: 124.08 (61.8 % Retracement Level)

S3:123.78 (Aug 12^th lows)