FX.co ★ The USD/JPY Montly Forecast May 2011

MONTHLY OVERVIEW :

After hitting the Resistance 84.50 level, the pair came back to downside and closed in the middle of another previous monthly candle range (march 2011 monthly candle). For this month we predict the pair to be in a ranging situation between the 80.20 and the 84.50 levels again, however if Osama Bin Ladden death issue is true, it will be a trigger to the upside momentum for the USD to test the 84.50 Resistance, especially if the 82.53 level can be broken in this whole week, it will be a good trigger for the USD/JPY to go up again, if 84.50 can be easily broken up, the next target will be at the previous Weekly high at the 85.55 level. However if the USD/JPY can break down and close below the 81.03 level, it will drive this pair to go down at least to the 80.20 level.