Technical Analysis - USDJPY unlocks new multi-month low at 140.70
USDJPY confirms the bearish tendency
MACD and RSI dive near oversold areas
USDJPY depreciated to a new nine-month low of 140.70, further strengthening the bearish trend, especially after the break of the long-term uptrend line.
In technical terms, the MACD oscillator is descending below its trigger line in the negative region, while the RSI currently indicates a downward trend, nearing the oversold area. Also, the bearish crossover within the 50- and 200-day SMAs confirms the negative momentum in the market.
If the price continues the downfall, attention would be redirected towards the next support of 140.20, which is taken from the bottom in December 2023. A further significant decrease in price may lead to a test of the July 2023 trough at 137.20.
Conversely, a recovery from 141.60 may provide some hope for an upward move, reaching the 20-day SMA at 144.80. Continuing upwards, the 23.6% Fibonacci retracement level of the downward move from 161.94 to 141.60 at 146.45 and the 147.15 barrier may halt the rising movement.
In a nutshell, USDJPY endorsed the negative scenario today, and only a climb above the 200-day SMA may change the current outlook.Related Assets
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