USD/JPY - 107.30...Dlr edged marginally abv Wednesday's high at 107.97 to 107.99 in Australian morning y'day b4 falling to 107.19 after failing to take out the stops placed around the rumoured option barrier at 108.00, with cross buying in yen (unwinding of carry trades following the 283-point decline in the Dow) putting more pressure on the greenback in U.S. session.
Although y'day's retreat fm 107.99 suggests recent upmove has possibly formed a temp. top, a firm break below 107.17/19 is needed to bring correction to 106.79 (61.8% r of 106.05-107.99) n then twds 106.38 (min 38.2% r of 103.77-107.99), however, as hourly oscillators wud be in o/sold territory on such move, reckon 106.05 (July 22) wud hold n yield rebound. Below 106.05 wud indicate price remains inside 103.77-108.59 broad range n extend to 105.30/40 'later'.
On the upside, abv 107.99 wud extend the rise fm 103.77 (July 16) to 108.10/20 but only a breach of daily res at 108.59 (June '08 top) wud confirm the uptrend fm this year's low at 95.77 has 'finally' resumed n further headway to 109.00 wud follow...
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