On Tuesday, the dollar falls against other major currencies as investors shifted attention to the forthcoming meeting of global central banks on expectations of additional stimulus measures from their side.
USD/JPY pair rose to 104.89, the highest value since June 24.
Trading sentiments for the pair USD/JPY today: to buy above 103.60 with targets 105.30 and 106.10 points. Alternative scenario: The downside breakout of 103.60 will open the way to 102.85 and 102.45.
USD/JPY has risen more than 4% over the past three days, noting a new three-week high on a psychological level of 105.00. Probably, the currency will return to the support level 103.40, and then move down to 101.25. An alternative scenario would be a successful break of strong resistance level of 105.00 at the top, which will open the way to 106.80 resistance level.
Perhaps the market is too aggressive in their expectations regarding the “helicopter money”? Incentives will come, but when? JPY crosses are in risk to form a top, if interest in safe assets, which was active after Brexit, did not return.
The US dollar was down against the Japanese Yen on Friday. By the end of the trading session USD/JPY is traded at 104.83, shedding 0.47%. I believe that the support is now located at around 100.42, Monday’s low, and resistance is likely to beat the level of 106.31 - a maximum of Friday’s trading.
There were high expectations that the Bank of Japan will expand monetary stimulus. According to some forecasts the regulator will emerge fiscal stimulus, but the Bank of Japan will prefer to wait and study the special budget plan to be drawn up in the coming weeks.
If the expansion of monetary stimulus occurs, it will give direct support for banks. The bank at this stage see a number of obstacles and I doubt that there will be something soon.
Since the Bank of Japan may disappoint the markets, we should be cautious in terms of sales of USD/JPY, as a fiscal stimulus should support the pair.
Ideally, decline to 104.00-50 yen would be an excellent opportunity for opening long positions.
The high degree of uncertainty around JPY indicate active currency fluctuations during yesterday’s trading. Rising yen potential looks more limited than reduction perspectives, but all will depend on the decision of the Bank of Japan tomorrow.
The US dollar was down against the Japanese Yen on Friday. At the closing of trading session EUR USD / JPY has traded at 102.03, shedding 3.08%. I believe that the support is now located at the level of 101.97, the low of Friday’s trading, and resistance is likely at level of 106.73 - a maximum of Monday.
The dollar recorded a losing session against the yen on Tuesday. The US currency continued the negative trend from last week and lost further ground against the yen. As a result, the support at 101.37 was pierced, and if bearish sentiment continues in the future, the pair will test the level at 98.36. The session started at a price of 102.38, the dollar lost 150 pips to the end of the session. Bottom of the day was struck at 100.68.
Key levels to watch for today:
Support: 101.37; 98.36;
Resistance: 106.02; 107.48.
As expected, the dollar/yen continued its bearish momentum yesterday, bottomed at 100.67. Trading signals remain down to test 100.00. A clear break and daily close below that area could trigger further bearish pressure testing to 98.80. Resistance for the day is 101.50. A clear break above that area could lead price to neutral zone testing 102.00 but overall I still prefer a bearish scenario.
On the 4-hour chart 50-SMA and the 100-SMA show a bearish crossover, and the price moves sufficiently below them and the downward trend line on the daily chart. Oscillator MACD also moves below both its zero and trigger lines suggest strong bearish momentum of prices for the next few hours. In addition, the RSI is oversold, suggesting recent bearish price sentiment. A successful attempt to pass below 100.70 opens the way to a strong support level at 100.00 and then to barrier 99.00.
The US dollar was down against the Japanese Yen on Friday. By the end of trading session USD/JPY was traded at 101.27, shedding 0.68%. I believe that the support is now located at the level of 100.85, the low of Friday’s trading, and resistance is likely to be at the level of 102.67 - a maximum of Monday.
Key levels to watch for:
Support: 100.65; 100.15; 98.90;
Resistance: 103.05; 105.30; 107.90.
Saturday morning here in Australia and I’ve jumped on quickly to check the charts and what has happened over night… Looking at USD/JPY it hasn’t moved much but has formed a nice little triangle on the 4hr chart. Going to watch this pair and wait for a breakout… I’m expecting a bullish breakout but we’ll have to wait and see!!
The US dollar rose against the Japanese Yen on Friday. By the close of trading USD/JPY is traded at 100.21, gaining 0.32%. I believe that support is now at around 99.53, Tuesday’s low, and resistance is likely to be at 101.47 - a maximum of Monday.
The Japanese yen is trading at maximum value against the US dollar since the 20th of June. For the whole week it hasn’t resolved the issue of the circular level 100. What is the cause? The main reason I highlight, is coming from the authorities, that if the yen fluctuations become too harsh, the Ministry of Finance will have to take drastic measures, and that the probability of easing of monetary policy in the next month, September, is more than 50%. From my point of view, now it can act as sufficiently important reason to start purchases.
Key levels to watch for:
Support: 99.51; 98.96;
Resistance: 102.65; 105.08.
Dollar/yen continued downward momentum last week, bottomed at 99.53. The pair was traded higher earlier this morning and hit 100.92. The signals are up for testing 101.15/50 in the near future. A clear break above that area could trigger further bullish pressure testing 102.00, but basically I still prefer a bearish scenario. Immediate support is at 100.30, whose breakthrough could lead the price to neutral zone for testing 90.50.
The yen fell on Thursday during the Asian trading session, after the Corporate Services data showed a larger-than-expected increase, and the market keeps cautious ahead of tomorrow’s speech the Fed chairman. USD/JPY was trading at 100.48, gaining 0.03%