JPYZAR closes within prior day's range after lackluster session
Japanese Yen/South African Rand (JPYZAR) Technical Analysis Report for Jun 30, 2020 | by Techniquant Editorial Team
JPYZAR ended the month -1.11% lower at 0.1608 after gaining 3 pips (0.19%) today. Closing within the prior day's range, prices failed to decisively move beyond the previous day's trading range in a lackluster session.
Daily Candlestick Chart (JPYZAR as at Jun 30, 2020):
Tuesday's trading range has been 15 pips (0.93%), that's far below the last trading month's daily average range of 32 pips. Weekly volatility is also lower, being below the market's average weekly trading range. The longer-term, monthly volatility is currently lower than usual for JPYZAR. Prices continued to consolidate within a tight trading range between 0.1597 and 0.1623 where it has been caught now for the last three trading days.
During the whole day, prices traded within the prior day's range, unable to trade above the previous day's high or below the prior day's low forming an Inside Bar.
Prices are trading close to the key technical resistance level at 0.1621 (R1). After having been unable to move lower than 0.1600 in the previous session, the pair found buyers again around the same price level today at 0.1603.
The market shows strength in the short-term supported by its long-term uptrend with only the medium-term trend being bearish.
Buying could accelerate should prices move above the nearby swing high at 0.1623 where further buy stops might get activated.
Among the two market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Close to Swing High" stand out. Though it is usually interpreted as neutral, it has actually shown to be bearish for JPY/ZAR. Out of 682 times, JPYZAR closed lower 48.97% of the time on the next trading day after the market condition occurred.