USDCHF and USDJPY: USDJPY is on support at the 138.50 level
- During the Asian trading session, we saw a continuation of the USDCHF pullback to the 0.90400 level.
- Yesterday we saw USDJPY pull back to 138,500 levels.
USDCHF chart analysis
During the Asian trading session, we saw a continuation of the USDCHF pullback to the 0.90400 level. The broader picture tells us that we are still in the bullish channel and that the dollar could slowly begin to recover. The pair could now find support at the EMA50 moving average and continue the recovery.
Potential higher targets are 0.90800 and 0.91000 levels. We need a negative consolidation and a more concrete pullback to the 0.90200 level for a bearish option. Potential lower targets are 0.90000 level and 0.89800 level.
USDJPY chart analysis
Yesterday we saw USDJPY pull back to 138,500 levels. During the Asian trading session, there was no significant movement, most of the movement took place in the range of 138.50-139.00. Additional pressure on the pair is created by the EMA50 moving average above the 139.00 level.
We now need a break below today’s support; after that, we could see a continuation of the pullback. Potential lower targets are 138.00 and 137.50 levels. For a bullish option, we need to get back above 139.50, and then we could consider further recovery. Potential higher targets are 140.00 and 140.50 levels.