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
Please try again
Oil - US Crude
Wall Street
More View more
Real Time News
  • No notable reaction in BTPs given that resignation from Conte has been touted earlier in order to put together a new government. Also, a resignation does not necessarily mean that a snap election will be the next step as of yet.
  • The retail speculative crowd is throwing around serious weight with GameStop today, but its appetites have been showing through with the likes of Tesla and FAANG before that. The Broader $NDX to $SPX ratio seems to similarly exhibit the charge:
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 100.00%, while traders in GBP/JPY are at opposite extremes with 66.51%. See the summary chart below and full details and charts on DailyFX:
  • AUD/USD still tracks the opening range for January amid the limited reaction to Australia’s Employment report. Get your $AUDUSD market update from @DavidJSong here:
  • The focus will shift as to whether Conte will search for a new parliamentary majority As a reminder, PD Lawmakers noted that they would guarentee support for Conte as head of new government if he resigns $EUR
  • Italian PM Conte is expected to resign as early as Monday - Officials $EUR
  • Commodities Update: As of 17:00, these are your best and worst performers based on the London trading schedule: Gold: 0.13% Oil - US Crude: -0.19% Silver: -0.47% View the performance of all markets via
  • BoE Governor Bailey: - Digital innovations in payments are here to stay - Haven't yet landed on the appropriate design for a lasting digital currency - Doesn't think cryptocurrencies are lasting yet #BoE $GBP
  • Forex Update: As of 17:00, these are your best and worst performers based on the London trading schedule: 🇳🇿NZD: 0.16% 🇯🇵JPY: -0.02% 🇬🇧GBP: -0.11% 🇦🇺AUD: -0.16% 🇪🇺EUR: -0.24% 🇨🇭CHF: -0.33% View the performance of all markets via
  • Mexican Peso Price Forecast: USD/MXN Above 20.00 as Bulls Break Out $MXN $USDMXN
Japanese Yen Outlook: USD/JPY Bias Remains Lower, Key Support Eyed

Japanese Yen Outlook: USD/JPY Bias Remains Lower, Key Support Eyed

Justin McQueen, Analyst

USD/JPY Price Analysis & News

  • USD/JPY Bias is Lower
  • Watch US Yields for USD/JPY Direction
  • Sizeable Option Expiries to Maintain 104.00-104.50 range

USD/JPY has traded within a relatively narrow range thus far, however, while the bias remains lower, a continued push higher in US yields as has been the case this week could offset that bias. That said, with the Federal Reserve looking set to increase their weighted average maturities (i.e. purchasing further up the curve), this can place a cap on the recent rise in US yields in the long end.

Firm resistance is located at 104.75-85 which coincides with the weekly highs and 50DMA. In turn, rallies in USD/JPY could be faded from these levels, while a change in the trend could occur from a break of trendline resistance at 105.40, where a close above opens the door to the 200DMA situated at 106.45. Elsewhere, it is also worth noting that sizeable option strikes expiring on Friday at 104.00 (3.4bln) and 104.50 (1.7bln) may set the range for the next 24hours.

On the downside, aside from the psychological 104.00 handle, support resides at 103.80 with a break below putting the November lows back in focus at 103-15-20.

For a complete guide of using moving averages in trading, review this explainer for traders

USD/JPY Daily Chart

Japanese Yen Outlook: USD/JPY Bias Remains Lower, Key Support Eyed

Source: Refinitiv

IG Client Sentiment (USD/JPY)

Retail trader data shows 63.58% of traders are net-long with the ratio of traders long to short at 1.75 to 1. The number of traders net-long is 1.75% lower than yesterday and 1.94% lower from last week, while the number of traders net-short is 6.24% higher than yesterday and 4.89% higher 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 and compared with last week. Recent changes in sentiment warn that the current USD/JPY price trend may soon reverse higher despite the fact traders remain net-long.

Data provided by
of clients are net long. of clients are net short.
Change in Longs Shorts OI
Daily 12% 1% 7%
Weekly -2% -6% -4%
Learn how to use Sentiment in your trading strategy
Get My Guide
Japanese Yen Outlook: USD/JPY Bias Remains Lower, Key Support Eyed

Source: IG/DailyFX

A look at Institutional Positioning Highlights Investors Piling into the Japanese Yen

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