NZD/JPY has broken major trendline support at 76 levels, we see scope for further downside.
Yen demand on the rise in Asia on heightened trade war angst as China lashes out against US in trade wars.
Technical studies for the pair are highly bearish. RSI is below 50 and momentum is bearish.
20-DMA is pointing south and we see -ve DMI dominance which adds to bearish bias.
Break below major trendline support at 76 raises scope for test of 74.83 (61.8% Fib retracement of 69.232 to 83.910 rally).
On the flipside, 5-DMA at 76.30 is immediate resistance, break above 20-DMA at 77.05 negates bearish bias.
Support levels - 75.62 (April 12 low), 75, 74.83 (61.8% Fib retracement of 69.232 to 83.910 rally)
Resistance levels - 76, 76.30 (5-DMA), 77.05 (20-DMA), 78
Good to go short on rallies around 75.75/76, SL: 76.80, TP: 75/ 74.85/ 74.
Yen demand on the rise in Asia on heightened trade war angst as China lashes out against US in trade wars.
Technical studies for the pair are highly bearish. RSI is below 50 and momentum is bearish.
20-DMA is pointing south and we see -ve DMI dominance which adds to bearish bias.
Break below major trendline support at 76 raises scope for test of 74.83 (61.8% Fib retracement of 69.232 to 83.910 rally).
On the flipside, 5-DMA at 76.30 is immediate resistance, break above 20-DMA at 77.05 negates bearish bias.
Support levels - 75.62 (April 12 low), 75, 74.83 (61.8% Fib retracement of 69.232 to 83.910 rally)
Resistance levels - 76, 76.30 (5-DMA), 77.05 (20-DMA), 78
Good to go short on rallies around 75.75/76, SL: 76.80, TP: 75/ 74.85/ 74.
