NEW YORK (Forex News Now) – As of around 8:15 A.M. GMT on Tuesday, the yen was climbing against the dollar, nearing a 15-year high during early European currency market trading.
This is what the analysts say about the heavily traded currency pair in the near-term:
Forexcyle said the bounce by USD/JPY from 81.55 should be treated as a consolidation of the downtrend from 85.92.
According to the site’s intraday analysis, “As long as the channel resistance holds, another fall to 81.00 is still possible.”
FXstreet, meanwhile, notes that USD/JPY’s “pop up” on Monday was short-lived, and that short-term bias for the currency pair is mixed.
The realtime forex news site noted that, “A close through 81.82 brings 81.55, 81.37 and 81 into play.”
But should USD/JPY climb through 82.18, the next target would be around 82.55 and 82.90, FXstreet adds.
Meanwhile, in a report geared towards technical analysis trading, USD/JPY has formed a temporary low, and further consolidations should be seen above 81.54.
The site adds, however, that a break above resistance at 83.15 is necessary as the “first signal of bottoming.”