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8 Jan 2015
USD/JPY correction ending, might climb to test 124.16 levels – BAML
FXStreet (Barcelona) - MacNeil Curry, Head of Global Technical Strategy at Bank of America-Merrill Lynch, explains that the intraday advance from 118.05 suggests the completion of the USD/JPY correction, and further estimates the pair to tread higher towards 124.16/124.59 levels.
Key Quotes
“Price weakness from the Dec-07 high of 121.86 is best described as corrective of the larger, incomplete bull trend. Now, the intra-day advance from the Jan-06 low of 118.05 indicates that the correction is ending and the uptrend is poised to resume for test of 124.16/124.59 (Jun'07 high and measured move).”
“As such, its time to initiate a new long at market with a stop below the 118.05 lows. Additional confirmation that the larger bull trend is resuming would come on a break of above 120.83.“
Key Quotes
“Price weakness from the Dec-07 high of 121.86 is best described as corrective of the larger, incomplete bull trend. Now, the intra-day advance from the Jan-06 low of 118.05 indicates that the correction is ending and the uptrend is poised to resume for test of 124.16/124.59 (Jun'07 high and measured move).”
“As such, its time to initiate a new long at market with a stop below the 118.05 lows. Additional confirmation that the larger bull trend is resuming would come on a break of above 120.83.“