20.03.201111:53 Forex Analysis & Reviews: USD/JPY Weekly Forecast for March 21st - 25th/2011

WEEKLY FORECAST :

For a long time we have been waiting for a significant movement from the sideways and low volatility situation of the USD/JPY. Last week the pair broke its previous low amid the nuclear crisis and the USD dropped down to the 76.50 level. However, it looks like last week the pair had an intervension. If we look at the charts, we can see that the pair closed between the Fibonacci support 61.8% at the 80.15 level and the Fibonacci Resistance 78.6% at the 81.15 level, and these two level, or only one of them, will be tested by the USD/JPY. If the Support level is broken their will be going to the next support at the Fibonacci Support 50% at 79.50. On the other hand if the Resistance level can be broken, it will be going up to the next Resistance at the Fibonacci Resistance 85.4% at 81.56.