USDJPY Up 3 Pips in Last Hour, Price Base in Formation Over Past 14 and 90 Days; Eyes 20 and 200 Day Averages

Hourly Update

(Last Updated February 15, 2021 23:15 GMT)

At the moment, USDJPY’s rate is up 290 pips (0.03%) from the hour prior. This is a reversal of the price action on the previous hour, in which price moved down. If you’re a trend trader, consider that the strongest clear trend on the hourly chart exists on the 100 hour timeframe. 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 13 pips (0.12%) since the previous day (opening today near 105.051), marking the 4th day in a row an upward move has occurred. Out of the 39 instruments in the Forex asset class, USDJPY ended up ranking 13th for the day in terms of price change. Here is a price chart of USDJPY.

USDJPY

USDJPY Technical Analysis

Notably, USDJPY is now close to its 20, 50, 100 and 200 day averages, located at 104.6572, 103.9939, 104.1891 and 105.1538 respectively, and thus may be at a key juncture along those timeframes. As for the alignment of the moving averages, well, it’s a bit mixed up; the 20, 50, 100, and 200 do not progress from largest to smallest, or vice versa. The closest is the 200 day average, which is 10.3 pips away. Volatility for USDJPY has been contracting over the past two weeks relative to volatility over the past month. Whether volatility reverts will be something to watch. Rangebound traders may wish to note that USDJPY is getting close to its upper bollinger band, which, when coupled with the lack of trend on a 14 day timeframe, may be an opportunity for short sellers. Trend traders will want to observe that the strongest trend appears on the 30 day horizon; over that time period, price has been moving up. Price action traders in particular will want to note that the 14 and 90 day periods appears to show price forming a base; this could indicate that a support/resistance level is developing. Or to simplify this another way, note that out of the past 30 days USDJPY’s price has gone up 18 them.