USDJPY Up 2 Pips in Last Hour; Breaks Above 20 Day Average

Hourly Update

(Last Updated September 10, 2020 16:13 GMT)

At the time of this writing, USDJPY’s rate is up 220 pips (0.02%) from the hour prior. The hourly chart shows that USDJPY has seen 2 straight up hours. If you’re a trend trader, consider that the strongest clear trend on the hourly chart exists on the 20 hour timeframe. Of note is that the 100 and 50 hour changed directions on USDJPY; they are now pointing up. 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 entered today at 106.169, up 15 pips (0.14%) from the previous day. Relative to other instruments in the Forex asset class, USDJPY ranked 17th the previous day in terms of percentage price change. Here is a price chart of USDJPY.

USDJPY

USDJPY Technical Analysis

Notably, 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 9 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 14 buy signals on our radar and 20 sell signals. This imputes a buy/sell ratio of 0.7, 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.

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: -2 Overbought/oversold : none The priority area of transactions: sellingSelling in the area of 1,3050 with a stop above 1,3100 and a profit in area 1,2950….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