USD/JPY Extends Downtrend, Breaking Under 79

On Wednesday Dollar/Yen resumed decreasing with 70 pips. The currency couple depreciated from 79.56 to 78.86 yesterday, matching the negative money flow sentiment at under -27%, closing the day at 79.06. This morning the Dollar descended further against the Yen, slipping down to 78.70.

On the 1 hour chart quotes broke down of the trading range, while on the 3 hour chart the small angle downward channel has renewed. Break above yesterday's top and nearest resistance 79.56 would encourage further recovery of the Dollar. Immediate support is today's bottom at 78.70, and consistent break bellow it could strengthen the Yen further down towards next target 77.84.

Today were Japan Housing starts and Construction orders, both at 5 GMT.

Quotes are moving bellow the 20 and 50 EMA on the 1 hour chart, indicating bearish pressure. The value of the RSI indicator is negative and calm, MACD is negative and tranquil too, while CCI has thinly crossed down the 100 line on the 1 hour chart, giving over all light short signals.

Technical resistance levels: 79.56 80.44 81.30

Technical support levels: 78.70 77.84 77.00

Total today +1 pip profit/loss on USD/JPY today from the following sent to clients only signal:

5:16 GMT+1 Sell USD/JPY at 78.74 SL 79.00 TP 78.24, exit sent at 5:17 GMT+1.

Total today +50, yesterday +128, as shown at http://www.zifx.com/performance-past.php.