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 [currency pair’s] 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.”