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.

Free Trading Guides
EUR/USD
Bullish
Oil - US Crude
Mixed
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
Gold
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
GBP/USD
Mixed
USD/JPY
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
  • The $AUD may suffer as relations between Australia and China deteriorate amid dwindling growth prospects. Euro traders will be closely watching progress in talks about a €500b recovery fund proposal. Get your market update from @ZabelinDimitri here: https://t.co/LkEFJViPWY https://t.co/sofO135ElG
  • The US Dollar could rise against #ASEAN currencies such as the Singapore Dollar as US-China tensions seem to escalate. The Indian Rupee is also looking ahead of local 1Q GDP data. Get your ASEAN currencies market update from @ddubrovskyFX here:https://t.co/LkEFJViPWY https://t.co/ZGFaQQ3Hr2
  • The #Euro is the big driver here for DXY as it is 57% of the index. It is rising now and trying to break above the March 27 high at 11147. Get your $EURUSD technical analysis from @PaulRobinsonFX here:https://t.co/6gt3F9LuGP https://t.co/73SaL5AeXD
  • U.S. Market Analyst at https://t.co/JsVsSmefgR, Shain Vernier covers - ✔️ Safe haven assets in volatile markets ✔️ Central banks and governments ✔️ How will commodities trade in a recession Only on Trading Global Markets Decoded #podcast. Tune in here: https://t.co/1UmEzEbwiy https://t.co/EIC9YqfTec
  • Anybody else think that casting directors in movies are some of the most underrated people when it comes to giving a film/series credit?
  • No https://t.co/EoBltaP17k
  • Crude #oilprices may face heightened liquidation pressure as the cycle-sensitive #commodity finds itself under the pressure of resilient resistance and a vulnerable, multi-week rising channel. Get your crude #oil market update from @ZabelinDimitri here: https://t.co/cGPX4qcOH1 https://t.co/0U4JMJVFuf
  • The @ecb will likely boost its Pandemic Emergency Purchase Program at Thursday’s meeting of its Governing Council; a move that could give the #Euro a lift. Get your currencies market update from @MartinSEssex here: https://t.co/I4PbmJNG1z https://t.co/hu6Ld1KdDB
  • $GBPUSD doesn’t have the cleanest set of technical indications, but #USD may give indications if it can break its trading range via the $DXY. Get your currencies market update from @PaulRobinsonFX here: https://t.co/PrC9wAaXvU https://t.co/vHYHflwqR3
  • The ongoing contraction in US production may keep #oilprices afloat in June as crude output falls to its lowest level since October 2018. Get your crude #oil market update from @DavidJSong https://t.co/jj1bMLX0DF https://t.co/O9NOqbfHkb
Japanese Yen Technical Analysis: Can USD/JPY Hold 2017 Lows?

Japanese Yen Technical Analysis: Can USD/JPY Hold 2017 Lows?

2017-08-18 01:56:00
David Cottle, Analyst
Share:

Talking Points:

  • USD/JPY remains in a clear downtrend, on both a short and medium-term view
  • However, defence of the year’s lows looks solid
  • A key test could be looming

Just getting started in USD/JPY trading? The DailyFXbeginners’ guide is here to help

At first glance, the Japanese Yen is having things very much all its own way against the US Dollar.

USD/JPY remains in an obvious downtrend from the last significant peak – July 11’s 114.06. On a daily closing basis, that peak was itself lower than the previous notable top, May 10’s 114.30. Another bad sign for any remaining bulls.

Japanese Yen Technical Analysis: Can USD/JPY Hold 2017 Lows?

Moreover, recent falls are only an acceleration of the more gradual downtrend that’s been with us all year.

Japanese Yen Technical Analysis: Can USD/JPY Hold 2017 Lows?

However, for the short term it might be a good idea to keep an eye on the June 14 intraday low at 108.80. That’s just about where the latest foray lower bounced between August 11 and August 14. It seems to be the most significant obvious barrier to progress lower now.

Japanese Yen Technical Analysis: Can USD/JPY Hold 2017 Lows?

It’s easy enough to see why this might be so. 108.80 is the lowest point for the currency pair short of the outright 2017 nadir of 108.11, hit on April 17. If you are uncomitted at this point it might be a good idea to wait and see if these two key support levels survive this latest attack before taking a position.

If the 2017 lows do give way this time then the whole climb up from last November’s 101 area will be back in obvious question. Even if they don’t then the familiar downtrend of this year will certainly remain in place, but it will still be a gradual affair. That said a break lower at some point looks inevitable unless the bulls can show a lot more fight than we’ve seen recently.

The Yen has done even better against the British Pound this month than it has against the Dollar. Poor old sterling gets you about six fewer Yen now than it did at the start of August.

Japanese Yen Technical Analysis: Can USD/JPY Hold 2017 Lows?

GBP/JPY remains a lot further away from its 2017 lows than USD/JPY. They were made mid-April in the mid-135 area, still a long way down. Of course we may get back there yet but for the moment, the Pound’s Relative Strength Index suggests that selling may have got a little ahead of itself. The cross could now be due a little pause for reflection, if not for any remarkable fightback.

--- Written by David Cottle, DailyFX Research

Contact and follow David on Twitter:@DavidCottleFX

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

DISCLOSURES

News & Analysis at your fingertips.