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.



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

Live Webinar

Live Webinar Events


Economic Calendar

Economic Calendar Events

Free Trading Guides
Oil - US Crude
Wall Street
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
  • Technical indicators are chart analysis tools that can help traders better understand and act on price movement. Learn more about the importance of technical analysis here:
  • The British Pound, Australian Dollar and US Dollar may all experienced heightened periods of volatility as geopolitical risks in North America, Asia and Europe rattle global financial markets. Get your $GBPUSD market update from @ZabelinDimitri here:
  • The New Zealand Dollar may continue to outperform the haven-associated US Dollar as price breaks above key long-term resistance. Get your $NZDUSD market update from @DanielGMoss here:
  • #Gold prices declined following bearish technical cues, but a key zone of support was reinforced over the past 48 hours. #XAUUSD volatility risk is elevated ahead of the #USElection -
  • What is the US Dollar outlook based on retail positioning ahead of the November 3rd presidential election? EUR/USD may fall as AUD/USD rises. Which way could USD/CAD capitulate? Find out from @ddubrovskyFX here:
  • US #COVID19 cases hit a record for a second consecutive day -BBG
  • The Indian Rupee may weaken following a breakout higher in USD/INR. Despite rising global stock market volatility, the Nifty 50 has been holding its ground. Could it capitulate lower? Find out from @ddubrovskyFX here:
  • The US Dollar gained, pushing USD/SGD to break higher. However, USD/IDR may be looking at losses ahead. USD/MYR struggled to breach the March trendline. USD/PHP could rise.Get your market update from @ddubrovskyFX here:
  • The #DowJones and #SP500 have as of today averaged: -2.16% & 1.43% 3-months and 1-year before #Election2020 respectively What could this mean for the incumbent president/Trump next week? 👇
  • Forex Update: As of 20:00, these are your best and worst performers based on the London trading schedule: 🇬🇧GBP: 0.14% 🇨🇦CAD: 0.04% 🇦🇺AUD: 0.01% 🇨🇭CHF: -0.18% 🇳🇿NZD: -0.22% 🇪🇺EUR: -0.23% View the performance of all markets via
USD/JPY Stalls at July-High; Outlook Unfazed by Powell Appointment

USD/JPY Stalls at July-High; Outlook Unfazed by Powell Appointment

2017-11-04 01:39:00
David Song, Strategist
USD/JPY Stalls at July-High; Outlook Unfazed by Powell Appointment

Fundamental Forecast for Japanese Yen: Bullish

USD/JPY fails to test the July-high (114.50) as the Federal Open Market Committee (FOMC) keeps the benchmark interest rate on hold in November, with the pair at risk for a near-term correction amid the mixed reaction to the key developments coming out of the U.S. economy.

USD/JPY Stalls at July-High; Outlook Unfazed by Powell Appointment

Even though Fed Fund Futures continue to price a greater than 90% probability for a December rate-hike, the 261K expansion in U.S. Non-Farm Payroll (NFP) paired with the unexpected pickup in the ISM Non-Manufacturing survey have done little to influence interest-rate expectations as market participants see the FOMC staying on hold until June 2018. With U.S. President Donald Trump nominating Fed Governor Jerome Powell to replace Chair Janet Yellen, it seems as though the central bank will stay on course to deliver three-hikes per year, but the FOMC may ultimately reach the end of its normalization cycle ahead of scheduled as a growing number of central bank officials trim the longer-run forecast for the benchmark interest rate.

As a result, the FOMC may implement a dovish rate-hike ahead of 2018 in response to the larger-than-expected slowdown in Average Hourly Earnings, and the ongoing weakness in household earnings may continue to dampen the appeal of the greenback as ‘market-based measures of inflation compensation remain low; survey-based measures of longer-term inflation expectations are little changed.’

Want More Insight? Join DailyFX Currency Analyst David Song LIVE for an Opportunity to Cover Key Market Themes Along with Potential Trade Setups!

USD/JPY Daily Chart

USD/JPY Stalls at July-High; Outlook Unfazed by Powell Appointment

The advance from the September-low (107.32) appears to be getting exhausted amid the string of failed attempt to clear the July-high (114.50), with the broader outlook for USD/JPY confined by the range from earlier this year. Keeping a close eye on the Relative Strength Index (RSI) as it highlights a similar dynamic and appears to be flattening out ahead of overbought territory. With that said, a break of trendline support accompanied by a close below the Fibonacci overlap around 112.30 (61.8% retracement) to 112.80 (38.2% expansion) will bring the downside targets back on the radar, with the next region of interest coming in around 111.10 (61.8% expansion) to 111.30 (50% retracement).

New to Forex? Download the DailyFX Beginners Guide to Start Building a Basic Strategy!

Sign up for David's e-mail distribution list

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