USD/JPY Price Forecast – US dollar does almost nothing on Monday

Updated : Apr 22, 2019, 17:43 UTC1min read
The US dollar did very little during trading on Monday as we await some type of catalyst to get moving. There are economic announcements later in the week that could get things rolling, so at this point it looks as if traders are content to simply sit around and wait
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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.

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