The pair continues consolidating after a significant growth at the beginning of the week.
Data on the Tertiary Industry Index for March that was published today in Japan showed a decline of 0.7%, while experts anticipated a 0.2% fall, which slightly pressured the Yen. Today attention also needs to be paid to data on Retail Sales in the US. According to forecasts, indices will show growth that might provide additional support to the pair.
Support and resistance
On the 4-hour chart, the pair continues sideways movement along a narrow channel formed of the borders of , and is currently trading on the middle MA of the indicator. histogram is in the positive zone and its volumes are falling.
Support levels: 108.90, 108.50, 108.10, 107.65, 107.00, 106.50, 105.75, 105.35.
Resistance levels: 109.35, 110.00, 110.30, 110.75, 111.00, 111.25, 111.60, 112.00.
Long positions can be opened from the level of 109.00 with the target at 109.35 and stop-loss at 108.90. Validity – 1-2 days.
Short positions can be opened from the level of 108.50 with the target at 108.10 and stop-loss at 108.70. Validity – 1-2 days.