USD/JPY Down 84 Pips, Breaks Below 20 and 50 Day Averages; in an Uptrend Over Past 30 Days

USD/JPY Price Recap

The back and forth price flow continues for USD/JPY, which starts today off at 109.58 US dollars, down 84 pips 0.76% from the previous day. The price move occurred on stronger volume, as measured by the number of tick price changes; specifically, yesterday’s volume was up 19.66% from the day prior, and up 253.93% from the same day the week before. Relative to other instruments in the Forex asset class, USD/JPY ranked 32nd yesterday in terms of percentage price change. Below is a price chart of USD/JPY.

USD/JPY Technical Analysis

Notably, USD/JPY crossed below its 20 and 50 day moving averages yesterday. The clearest trend exists on the 30 day timeframe, which shows price moving up over that time. For additional context, note that price has gone down 17 out of the past 30 days.

A final note on correlations: in the recent most week, the currency pair bearing the strongest correlation to USD/JPY has been USD/CHF — a frequent scenario, considering USD finds itself in both pairs. As for pairs with the least correlation, AUD/CAD is the pair that holds that distinction for the past week, while EUR/NZD does on a two week basis.

The View From Around the Web

Of note is that traders in aggregate have opinions on USDJPY, with 11 buy signals on our radar and 7 sell signals. This imputes a buy/sell ratio of 1.57, which is bullish. As for the rationale, technical traders seem to be citing the appearance of channel, trendline and wedge technical patterns. Here’s a piece we found on tradingview.com; below is a short snippet from it to give you a taste.

Long Setup:- Rejection on H4 Trendline- Awaiting pull back a bit lower for entrySetup Entry#1:- Entry: – Stop:- TP1: – TP2: