USD/JPY 2 Day Up Streak Ended, is Inching Close to 20 and 50 Day Averages; Pin Bar Pattern Appearing on Chart

USD/JPY Price Recap

109.879 (USD) was the opening price of the day for USD/JPY, resulting in yesterday being a day in which price moved up 12 pips 0.11% from the day prior. This move happened on fewer tick price changes which may be a proxy for volume, as yesterday’s total tick count was down 43.84% from the day before — and down 47.82% from the same day the week before. Relative to other instruments in the Forex asset class, USD/JPY ranked 10th yesterday in terms of percentage price change. Let’s take a look at price chart of USD/JPY.

USD/JPY Technical Analysis

Notably, USD/JPY is now close to its 20, 50, 100 and 200 day averages, located at 109.4801, 109.3406, 108.9286 and 108.3811 respectively, and thus may be at a key juncture along those timeframes. Volatility for USD/JPY has exploded over the past two weeks relative to the past 30 days, which technical traders will want to note. Trend traders will want to observe that the strongest trend appears on the 90 day horizon; over that time period, price has been moving up. For additional context, note that price has gone up 16 out of the past 30 days. And for candlestick traders, a special treat: there is a pin bar pattern showing up on the charts as well. Rejoice!

The View From Around the Web

We’re seeing some traders come out with interesting conviction on USDJPY, with 14 buy signals on our radar and 11 sell signals. This imputes a buy/sell ratio of 1.27, which is bullish. As for the rationale, technical traders seem to be citing the appearance of a channel technical pattern. Here’s a piece we found on tradingview.com; below is a short snippet from it to give you a taste.

Now the market got stuck around the important key level 110.000….Normally, the bears are stronger in these situations – and that’s a retracement move….We recommend to buy the market if it breaks the key level 110.000.