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19 Dec 2013
USD/JPY breakout confirmed, Nikkei 225 not yet...
FXstreet.com (Bali) - After a sizeable bullish candle on the daily, which finally broke above May highs, the USD/JPY looks set to embark on a fresh bullish venture into uncharted 2013 territory.
From a technical persepctive, all ichimoku indicators are pointing in the same direction north, with no significant resistance noted until the 50% fibo retrac from the 2001-2013 decline, which comes at 105.30.
One important point to highlight, however, is that for all the stars to align in favour of Yen bears, we still need to get confirmation of a break into new year highs in the Nikkei 225, currently around 15,900 (futures) vs 15,962 May highs.
Note if the breakout is confirmed, no resistance in the benchmark index is observed until 16,150 or thereabouts, area where a descending trendline coming from 2000 through 2008 peak comes at.
From a technical persepctive, all ichimoku indicators are pointing in the same direction north, with no significant resistance noted until the 50% fibo retrac from the 2001-2013 decline, which comes at 105.30.
One important point to highlight, however, is that for all the stars to align in favour of Yen bears, we still need to get confirmation of a break into new year highs in the Nikkei 225, currently around 15,900 (futures) vs 15,962 May highs.
Note if the breakout is confirmed, no resistance in the benchmark index is observed until 16,150 or thereabouts, area where a descending trendline coming from 2000 through 2008 peak comes at.