JPY break through the psychological barrier resistance 26/10/2023

After several consecutive sessions of the price range between 149.50 and 150.00, we find the dollar/yen pair achieving significant gains. As we indicated in the previous technical report, the upward jump and the price consolidation above the psychological barrier resistance of 150.00 led the pair to achieve gains starting at 150.40, recording its highest level. During the morning trading of today’s session, the pair reached 150.47.

Technically, with the pair successfully confirmed the breach of the psychological barrier resistance of 150.00, in addition to the clear positive momentum signals on the 14-day momentum indicator, accompanied by the price obtaining a positive stimulus from the simple moving averages.

This increases the possibility of continuing the rise towards 150.60/150.50, the first target. Breaching it increases and accelerates the strength of the upward trend, as we await 151.10 and 151.30, respectively.

Sneaking below 149.50 can completely foil the proposed scenario and may lead the pair to make a bearish correction, with targets starting at 149.00 and 148.65.

Note: Today we are awaiting high-impact economic data issued by the Eurozone (European Central Bank Monetary Policy Committee statement, European Central Bank press conference, interest rates on the euro)

In the US, (preliminary estimates of gross domestic product).

Note: Trading on CFDs involves risks. Therefore, all scenarios may be possible. This article is not a recommendation to buy or sell but rather an explanatory reading of the price movement on the chart.

S1: 149.90	R1: 150.60
S2: 149.50	R2: 150.90
S3: 149.00	R3: 151.30