(Last Updated June 3, 2021 4:15 GMT)
Currently, USDJPY’s rate is up 300 pips (0.03%) from the hour prior. USDJPY has seen its price go up 5 out of the past 5 hours, thus creating some compelling opportunities for bulls. Regarding the trend, note that the strongest trend exists on the 50 hour timeframe. Price action traders may also wish to note that we see a doji candlestick pattern on USDJPY. Given that we see an uptrend on the 10 and 5 hourly candle timeframe, and that such candlestick patterns often denote reversals, this may be worth noting. With that said, traders should also note the downtrend on the 20 hourly candle timeframe, so the meaning of the candles may require further exploration. Most noteworthy in the world of moving averages on the hourly chart is that the 100 and 20 hour moving averages have been crossed, so that price is now turning 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)
USDJPY is up 11 pips (0.1%) since yesterday (opening today near 109.605), marking the 2nd straight day an upward move has occurred. Relative to other instruments in the Forex asset class, USDJPY ranked 14th yesterday in terms of percentage price change. Let’s take a look at price chart of USDJPY.
USDJPY Technical Analysis
Notably, the current price of USDJPY is sitting close to its 20, 50 and 100 day moving averages; moving average crosses often indicate a change in momentum, so this may be worth keeping an eye on. Trend traders will want to observe that the strongest trend appears on the 14 day horizon; over that time period, price has been moving up. For additional context, note that price has gone up 7 out of the past 14 days.
The View From Around the Web
We’re seeing some traders come out with interesting conviction on USDJPY, with 3 buy signals on our radar and 4 sell signals. This imputes a buy/sell ratio of 0.75, which is bearish. Here’s a piece we found on dailyfx.com; below is a short snippet from it to give you a taste.
USD/JPY approaches the May high (110.20) as Fed Governor Lael Brainard anticipates to “see further progress in coming months.”