USD/JPY Price Forecast – US dollar does almost nothing on Monday
The US dollar did almost nothing against the Japanese yen in early trading on Monday, to kick off the week that does have a significant amount of economic announcements coming. However, the idea of it being earnings season shouldn’t be ignored either, as it is a well-known correlation between the US dollar/Japanese yen pair and the S&P 500. As this pair can be a signal or proxy for risk appetite, it’ll be interesting to see how that plays out.
USD/JPY Video 23.04.19
Currently, the S&P 500 is struggling in a heavy area, and that of course could keep the market down somewhat. Looking at this chart is very similar in the sense that the ¥112 level has been crucial as resistance. That being said we have been rather resilient in our bullishness, so that’s something that should not be ignored. Ultimately, this is a market that needs an impulsive day to make some type of trading decision. If that impulsive day is a substantial break above the ¥112 level on a daily close, then I would be interested in buying this pair as it will probably go looking towards the ¥113.50 level.
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On the other side of the equation, if we break significantly below the ¥111.50 level, we could drift down to the ¥111 level and then perhaps even the ¥110 level. Until then, this is a market that micro scalpers will be involved with more than anybody else.
Please let us know what you think in the comments below