News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site. See our updated Privacy Policy here.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
Subscribe
Please try again
Wall Street
Bullish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
More View more
Real Time News
  • MACD who? The Moving Average Convergence Divergence (MACD) is a technical indicator which simply measures the relationship of exponential moving averages (EMA). Find out how you can incorporate MACD into your trading strategy here: https://t.co/ZNs4Qi8ieG https://t.co/6cn6OK6M7w
  • RT @Stephanie_Link: 84% of $SPX companies have beaten EPS estimates to date for Q3, which is tied for the 3rd highest percentage since 2008…
  • What is #NFP and how can you trade it? Find out: https://t.co/XJWS04IF9j https://t.co/iV9lPzPDtc
  • What does it mean when one candle fully engulfs the previous in its price action? The bullish engulfing candle is one of the forex market?€?s most clear-cut price action signals. Figure out how to identify this pattern here: https://t.co/Yg6ecRZZNr https://t.co/3J0xXp4axT
  • Oil maintains a medium-term bullish outlook, but its overbought condition and price's proximity to key technical resistance may pave the way for a brief pullback before the next leg higher. Get your weekly oil forecast from @DColmanFX here: https://t.co/sv2bMc34gI https://t.co/DDIoe4VhZ3
  • It seems the markets are riding high, but risk is always lurking around the corner. Consider your escape plan before you find yourself in collapsing market. What are the top havens for different conditions in 2020? Find out from @JohnKicklighter here: https://t.co/1oeXWEsJkb https://t.co/P3SduerCFF
  • The update to the US GDP report may keep the Greenback under pressure as signs of a slowing recovery undermines speculation for an imminent shift in Fed policy. Get your weekly USD forecast from @DavidJSong here: https://t.co/xvLr1bLfZG https://t.co/aQnOIoUM9t
  • There a many different trading styles that can be applied to trading forex. Learn about different types of traders here: https://t.co/xfzRCzuuKK https://t.co/GXxdkNEeCg
  • Hang Seng Tech Index has likely formed a bullish “Inverse Head and Shoulders” chart pattern. Immediate support and resistance levels can be found at 5,800 and 7,433 respectively. Breaching above 7,433 would likely bring 8,266 into focus. https://t.co/VsavFLj97V
  • The Nasdaq 100 index has likely formed a bullish “Butterfly” chart pattern, which hints at further gains. The MACD indicator is about to form a bearish crossover, suggesting that upward momentum may be weakening and thus vulnerable to a short-term pullback. https://t.co/J0PFLYzXR1
The USD/JPY Tests Support at 113.46

The USD/JPY Tests Support at 113.46

Walker England, Forex Trading Instructor

Talking Points

  • The USDJPY has Declined 52 Pips in Early Trading
  • Bearish Breakouts Begin Under 113.14
  • Sentiment for the USD/JPY is Extreme with SSI Reading +2.19

USD/JPY 30 Minute Chart

The USD/JPY Tests Support at 113.46

(Created using Marketscope 2.0 Charts)

What are Yen crosses in store for next? Sign up for our FREE Yen Forecast

The USD/JPY is trading near values of support after declining as much as 52 pips on the day. Currently range support is found near the S3 pivot point, which is found near 113.46. In the event that prices continue to consolidate, it opens the possibility that the USD/JPY may attempt to bounce towards values of resistance. With today’s range measuring 62 pips, range resistance is found at the R3 pivot at a price of 114.08. Final resistance for the day is found at the R4 pivot point at price of 114.40. If the USD/JPY trades above this value it would be significant as it would be the first bullish price breakout for the pair in the last six trading sessions.

Alternatively, if prices break below the S3 pivot point, next support is found at 113.14. This value is represented in the graph above as today’s S4 pivot. A move below 113.14 would also be considered significant, as prices would be challenging the current monthly low at 113.12. If prices trade breakout below the S4 pivot, traders may extrapolate a 1X extension of today’s 62 pip range to put initial targets near 112.52.

It should be noted that sentiment readings for the USD/JPY remain at extremes. SSI (Speculative Sentiment Index) for the pair is currently reading at +2.19. With 68% of positioning long, this is generally taken as a bearish signal. If USD/JPY price action continues to decline, this value would be expected to remain at a positive extreme. Conversely, in the event of a bullish reversal, traders would look for SSI to read at values that are more neutral.

To Receive Walkers’ analysis directly via email, please SIGN UP HERE

See Walker’s most recent articles at his Bio Page.

Do you know the biggest mistake traders make? More importantly, do you know how to overcome the biggest mistake? Read page 8 of the Traits of Successful Traders Guide to find out [free registration required].

Contact and Follow Walker on Twitter @WEnglandFX.

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES