USD/JPY Price Forecast – Euro Quiet On Tuesday
The US dollar has done very little during the trading session on Tuesday against the Japanese yen as we simply grind back and forth in somewhat difficult conditions to handle. The 200-day EMA is of course going to cause resistance but we are also stalling when it comes to the stock markets, and that does have an influence on this pair as it is so sensitive to risk appetite. Ultimately, this is a market that should continue to be somewhat stagnant as we roll through earnings season. Earnings season of course can move the markets quite drastically, but so far has failed to do so. This may be perhaps due to the plethora of headlines out there that are causing issues.
USD/JPY Video 23.10.19
The markets do favor the Japanese yen when they are a bit concerned, and frankly they have a lot of reasons to be concerned currently. We have the US/China trade situation continuing to cause major issues, as well as the potential economic slowdown around the world. That is of course going to continue to be front and foremost in the market. Beyond that though, there’s also the question about the Federal Reserve and whether or not they are going to continue being dovish. I suspect they will, so given enough time I believe that buyers will continue to jump in on dips, extending all the way down to the ¥107 level. This is a difficult market to trade these days, and I don’t see it getting any easier.
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