USDJPY Up 9 Pips On Hourly Chart; Crosses 20 Day Moving Average

Hourly Update

(Last Updated September 11, 2020 16:13 GMT)

At the moment, USDJPY’s rate is up 950 pips (0.09%) from the hour prior. It’s been a feast for bears operating on an hourly timeframe, as USDJPY has now gone down 4 of the past 5 hours. From a hourly perspective, the market looks fairly choppy; clear trends aren’t showing up on the 20, 50 and 100 hour timeframes. Most noteworthy in the world of moving averages on the hourly chart is that the 100, 20, 200 and 50 hour moving averages have been crossed, with price now being above them. The moving averages on the hourly timeframe suggest a choppiness in price, as the 20, 50, 100 and 200 are all in a mixed alignment — meaning the trend across timeframes is inconsistent, indicating a potential opportunity for rangebound traders.

USDJPY End of Day Recap

Updated 00:30 GMT (04:30 EST)

The choppiness in the recent daily price action of USDJPY continues; to start today, it came in at a price of 106.169, up 15 pips (0.14%) since yesterday. Out of the 40 instruments in the Forex asset class, USDJPY ended up ranking 17th for the day in terms of price change. Let’s take a look at price chart of USDJPY.

USDJPY

USDJPY Technical Analysis

Moving average crossovers are always interesting, so let’s start there: USDJPY crossed above its 20 day moving average yesterday. The clearest trend exists on the 90 day timeframe, which shows price moving down over that time. For additional context, note that price has gone up 7 out of the past 10 days.

The View From Around the Web

We’re seeing some traders come out with interesting conviction on USDJPY, with 11 buy signals on our radar and 12 sell signals. This imputes a buy/sell ratio of 0.92, which is neutral. As for the rationale, technical traders seem to be citing the appearance of channel and triangle technical patterns. Here’s a piece we found on tradingview.com; below is a short snippet from it to give you a taste.

EURUSD* The technical cross-section**: Trend: 1 A strength of trend: 0 Overbought/oversold : none The priority area of transactions : buyingSelling in the area of 1,1890 with a stop below 1,1940 and a profit in the area of 1,1820….GBPUSD The technical cross-section: Trend : 0 A strength of trend: -3 Overbought/oversold : none The priority area of transactions: sellingSelling in the area of 1,2940 with a stop above 1,2990 and a profit in area 1,2820….USDJPY The technical cross-section: Trend: 0 A strength of trend: 0 Overbought/oversold: none The priority area of transactions: buyingSelling in the area of 106,20 with a stop above 106,60 and a profit in area 105,40.


Forex Frank is a forex analyst and market commentator with nearly two decades of experience in currency trading. Follow him on social media: Facebook | Twitter | Instagram