USDJPY Outlook: Bulls Eye Key Barriers At 113.20 Zone, Dip Buying Remains Favored

Technical analysis of Forex market

The pair hit new two-month high at 112.87 on Friday, in extension of broader uptrend, after fresh bullish signal was generated on Thursday’s close above 112.37 (Fibo 76.4% of 113.17/109.77 fall).

Bullish techs suggest further gains for eventual attack at key 113.20 zone (19 July high / Fibo 138.2% of current wave C of five-wave cycle from 109.77).

Bulls may consolidate before continuing, as overbought daily slow stochastic suggests. Corrective dips face support at 112.37 (broken Fibo 76.4% barrier), with deeper pullback expected to find ground at 112.00 zone (Thursday’s low / rising daily Tenkan-sen) to keep bulls in play.

– advertisement –

Conversely, break here would delay bulls for deeper correction.

Res: 112.87, 113.00, 113.20, 113.69
Sup: 112.37, 112.04, 111.96, 111.66