USDJPY Down 0 Pips Over Past Hour; Entered Today Down For the 2nd Straight Day

Hourly Update

(Last Updated September 17, 2020 23:13 GMT)

At the moment, USDJPY’s rate is down -40 pips (0%) 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. Regarding the trend, note that the strongest trend exists on the 100 hour timeframe. The moving averages on the hourly timeframe suggest a bullishness in price, as the 20, 50, 100 and 200 are all in a bullish alignment — meaning the shorter durations are above the longer duration averages, implying a sound upward trend.

USDJPY End of Day Recap

Updated 00:30 GMT (04:30 EST)

USDJPY is down 28 pips (0.26%) since the previous day (opening today near 105.433), marking the 2nd straight day a decrease has occurred. Out of the 40 instruments in the Forex asset class, USDJPY ended up ranking 33rd for the day in terms of price change. Below is a price chart of USDJPY.

USDJPY

USDJPY Technical Analysis

The first thing we should note is that the current price of USDJPY is sitting close to its 20, 50, 100 and 200 day moving averages; moving average crosses often indicate a change in momentum, so this may be worth keeping an eye on. 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 5 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 16 buy signals on our radar and 28 sell signals. This imputes a buy/sell ratio of 0.57, which is bearish. As for the rationale, technical traders seem to be citing the appearance of a triangle technical pattern. Here’s a piece we found on tradingview.com; below is a short snippet from it to give you a taste.

Expecting a pull back, then using market momentum and direction to expect a breakout due to shrinking triangle, and hence waiting for it’s retracement.


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