USD/JPY:Despite the latest slide back below 82.00, we continue to retain a constructive outlook for the market so long as it holds above the daily Ichimoku cloud. Daily studies do however still show room for additional setbacks before the cloud can support, and as such, buying at current levels is not recommended. Use the cloud as a reference point and look to buy dips to the cloud top or on a break back above the 200-Day SMA by 83.00. Ultimately, only a sustained break back below the cloud would negate constructive outlook.
Written by Joel Kruger, Technical Currency Strategist for DailyFX.com
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