Since the Japaense Yen broke its neckline of .012582 late February, the market completed its downside target by falling into its support range of .011931-.011697 from April of 2011. Since this completion of its downside target and test of support, the market has grinded higher, squeezing out sellers and retracing back through its broken neckline. Most recently the market spiked to .012881, hitting the top of its rising channel from the lows put in March 2012. Since this spike high the market fell back into its neckline of .012582 which has acted as support. Going forward, retracements into this spike high offers sellers a level to defend with stops above this high. Objective is to fall back below the neckline of .012582 and retest the March lows only this time to fall through and into the next major support which is .011375 from the flash crash highs of 2010. Moving through .012881 gives room into next major resistnace being .013030 and a move through .013160 is needed to regain the bull.
Japanese Yen
