USDJPY Technical Analysis Forex

Forex Market Update

USDJPY Daily Forex Analysis

This post is all about today’s analysis of USDJPY. The USDJPY Technical Analysis Forex will help the traders to get the ideas for trading this pair.

USDJPY ABCD pattern completion

We’ve broken the head and shoulders pattern that Ive been eyeing on the daily chart, a close below that level today would be a nice sign of confirmation. However, on the hourly chart we have an ABCD pattern completed at a 1.618 ext, so there may be a short term bullish move (or massive rally, not sure). I don’t try an predict market moves, I simply make a plan for when and if something happens and I react.

USDJPY Technical Analysis Forex 1

USDJPY Going Long Bearish

Bearish trend prevails below 100.65. The USDJPY pair plunged to 99.53, its lowest since July 24th, but FED’s Dudley saved the day, with the pair recovering back above the 100.00 level after saying that the US Central Bank can raise rates next September. The Japanese yen surged ever since the day starting, leading to sharp losses within Asian indexes that extended into European markets at London’s opening. Despite this latest intraday recovery, the pair continues trading well below the 100.65 level, a critical resistance now, as the risk will remain towards the downside as long as the price remains below it (USDJPY Technical Analysis Forex).

USDJPY Technical Analysis Forex 2

USDJPY Technical Analysis Forex

Sustained weakness below 100.00 mark is likely to keep the vulnerable to head back towards testing Brexit swing lows support near 99.00 round figure mark. On the flip side, any recovery attempts might now confront strong resistance near 100.80 region, above which a fresh bout of short-covering could lift the pair back towards 101.95-102.00 strong resistance.

USDJPY Technical Analysis Forex

USDJPY Long Bullish Bat

Extending its sharp sell-off, the USDJPY pair fell below 100.00 psychological mark for the first time since early July as markets now await for the release of US CPI for any immediate respite. Focus now shifts to US economic releases, namely – CPI, housing starts and industrial production data for some recovery. However, key determinant for the pair’s near-term trajectory would remain on Wednesday’s FOMC meeting minutes.

USDJPY Technical Analysis Forex 4

USDJPY Short Entry Levels

85.7% More chances for a bearish continuation, what is confirmed by a recent multi time frame price action research, and important level zones. How to use levels – 1. Wait till the level is reached, 2. Reversal pattern, 3. Confirmation , 4. Entry, 5. Target (intraday) is a last level on the direction mentioned with arrows. Currently there are no clear patterns on a chart (it doesn’t mean that there are no level limit entries and places for stop entries) We also have to review the range of the closed period comparing to the previous set of periods, hours, weeks, months, etc. Here, I’m showing you a range compared to 6 and 3 previous periods, NR means Narrow range, WR means wide range, the number displays a total periods reviewed (USDJPY Technical Analysis Forex).

USDJPY Technical Analysis Forex 5

Last month USDJPY held above the 105 level for a few weeks. In our view this was an anomaly. The firmer tone in USDJPY was in part fed by the better June US labour data. Also, last month the Abe government used its success in the Upper House elections to stir up excitement about its forthcoming fiscal stimulus program. The market was also enthusiastic about the July 29 BoJ policy meeting. In the event both disappointed. Our central view suggests USDJPY can trade around the 102.00 level in the coming months. However, the risk of a test below the 100 level is significant and a stumbling in general levels of risk appetite would lend the yen further support.