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.

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
EUR/USD
Bearish
Oil - US Crude
Mixed
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
Wall Street
Mixed
Gold
Bullish
GBP/USD
Mixed
USD/JPY
Bearish
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
  • S&P 500 Price Forecast: SPX Tests Huge Zone at Bull Flag Support https://www.dailyfx.com/forex/fundamental/daily_briefing/session_briefing/daily_fundamentals/2020/10/27/SPX-SPY-ES-Price-Forecast-SPX-Tests-Huge-Zone-at-Bull-Flag-Support.html $SPX $SPY $ES https://t.co/Pu2IgKdY5E
  • ....also, the outlook with a third peak in Covid cases in the US - and spread globally - is going to seriously undermine the sustainability of growth
  • A lot is being made of how remarkable the forecasted 31% increase in US GDP for 3Q would be if we hit the number Thursday, but remember the context. We are coming off a -31.4% plunge. You need an even bigger recovery to get back up to pace starting from a hole https://t.co/oBJKnOVgqu
  • is possible that USD/CAD is trying to carve a higher-low from the September 1 low, but some more work is needed to turn the near-term favorable for taking long-side bets. Get your $USDCAD technical analysis from @PaulRobinsonFX here:https://t.co/qNZxsbcXZO https://t.co/tZbYH8fG2h
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 96.79%, while traders in EUR/USD are at opposite extremes with 70.03%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/zsLSaHzzOv
  • Heads Up:🇩🇪 Bundesbank Balz Speech due at 17:00 GMT (15min) https://www.dailyfx.com/economic-calendar#2020-10-27
  • The blue-chip Dow ($DJIA) is coming up on a six-month trendline support close to the 50-day moving average. Overlay here is $CAT who reported a 54% drop in earnings https://t.co/T5Oj8rVQg9
  • Commodities Update: As of 16:00, these are your best and worst performers based on the London trading schedule: Oil - US Crude: 2.64% Silver: 0.72% Gold: 0.33% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/laWDJf4nqF
  • Forex Update: As of 16:00, these are your best and worst performers based on the London trading schedule: 🇳🇿NZD: 0.61% 🇨🇦CAD: 0.44% 🇯🇵JPY: 0.39% 🇦🇺AUD: 0.29% 🇪🇺EUR: 0.20% 🇨🇭CHF: 0.16% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/0kZ2RALYDe
  • #Bitcoin Breakout. . . $BTCUSD Daily Chart (log) https://t.co/Odz4b39q0V
Japanese Yen Price Outlook: USD/JPY Breakdown Targets– Trade Levels

Japanese Yen Price Outlook: USD/JPY Breakdown Targets– Trade Levels

2020-01-06 19:30:00
Michael Boutros, Strategist
Share:

The Japanese Yen rallied more than 1.7% against the US Dollar from the December highs in USD/JPY with price reversing off a critical resistance barrier we’ve been tracking for months now. These are the updated targets and invalidation levels that matter on the USD/JPY weekly price chart heading into the start of January trade. Review my latest Weekly Strategy Webinar for an in-depth breakdown of this gold price setup and more.

Forex for Beginners
Forex for Beginners
Recommended by Michael Boutros
New to Forex Trading? Get started with this Beginners Guide
Get My Guide

Japanese Yen Price Chart – USD/JPY Weekly

Japanese Yen Price Chart - USD/JPY Weekly - US Dollar vs Japanese Yen Trade Outlook - technical forecast

Chart Prepared by Michael Boutros, Technical Strategist; USD/JPY on Tradingview

Notes: In our last Japanese Yen Weekly Price Outlook we noted that USD/JPY was, “testing critical yearly open resistance at 109.68 and we’re looking for a reaction.” Price held below this key threshold for six-consecutive weeks before breaking up-channel support last week with the pullback now testing the first major support target at 107.71/84- a region defined by the 38.2% retracement of the late-August advance and the 2017 low- week close.

The immediate decline is vulnerable while above this threshold with a break / close below needed to mark resumption targeting he 61.8% retracement / 2019 low-week close at 106.25/46. Resistance steady at 109.36/68 with a breach there exposing pitchfork resistance extending off the 2017 highs, currently around ~110.30s.

JPY Forecast
JPY Forecast
Recommended by Michael Boutros
Download our Q1Japanese Yen Trading Forecast!
Get My Guide

For a complete breakdown of Michael’s trading strategy, review his Foundations of Technical Analysis series on Building a Trading Strategy

Bottom line: The USD/JPY breakdown is testing the first major support zone into the start of the year at 107.71/84- look for a reaction here early in the month with the broader risk lower sub-109.36 heading into January trade. From a trading standpoint, looking for topside exhaustion on a recovery to offer more favorable entries for a move lower. I’ll publish an updated Japanese Yen Price Outlook once we get further clarity on the near-term USD/JPY technical trade levels.

Japanese Yen Trader Sentiment – USD/JPY Price Chart

Japanese Yen Trader Sentiment - USD/JPY Price Chart - US Dollar vs Japanese Yen Trade Outlook - Technical Forecast
  • A summary of IG Client Sentiment shows traders are net-long USD/JPY - the ratio stands at +1.20 (54.57% of traders are long) – weak bearish reading
  • Long positions are12.42% higher than yesterday and 37.63% higher from last week
  • Short positions are 31.80% higher than yesterday and 5.09% lower from last week
  • We typically take a contrarian view to crowd sentiment, and the fact traders are net-long suggests USD/JPY prices may continue to fall. Yet traders are less net-long than yesterday but more net-long from last week and the combination of current positioning and recent changes gives us a further mixed USD/JPY trading bias from a sentiment standpoint.
USD/JPY BEARISH
Data provided by
of clients are net long. of clients are net short.
Change in Longs Shorts OI
Daily 8% 7% 7%
Weekly 27% -3% 14%
Learn how shifts in USD/JPY retail positioning impact trend
Get My Guide

---

Previous Weekly Technical Charts

Building Confidence in Trading
Building Confidence in Trading
Recommended by Michael Boutros
Learn how to Trade with Confidence - Free Trading Guide
Get My Guide

--- Written by Michael Boutros, Technical Currency Strategist with DailyFX

Follow Michael on Twitter @MBForex

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

DISCLOSURES