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
Mixed
GBP/USD
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
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
Gold
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
Oil - US Crude
Mixed
Bitcoin
Bearish
More View more
Real Time News
  • #Gold prices may fall while the US Dollar gains even as economic policies championed by the Trump administration invite inflation. Get your market update from @IlyaSpivak here: https://t.co/4lHhHsby56 $XAUUSD https://t.co/JmZxckVHdS
  • Cable (GBP/USD) remains just off its seven-month high print around 1.3165 as traders start to move to the side lines ahead of next Thursday’s General Election vote. Get your $GBPUSD market update from @nickcawley1 here: https://t.co/CpCh13J9ZH #Brexit https://t.co/PIh6WUqbsK
  • (Weekly Technical Outlook) GBP/USD, EUR/GBP, GBP/JPY, GBP/CAD Outlook as UK Election Looms $GBPUSD $EURGBP $GBPJPY #UKelection2019 - https://www.dailyfx.com/forex/technical/article/fx_technical_weekly/2019/12/07/GBPUSD-EURGBP-GBPJPY-GBPCAD-Outlook-as-UK-Election-Looms.html?CHID=9&QPID=917702 https://t.co/iuILHYczJ7
  • Why do you require consistency in trading and why does it matter? Find out: https://t.co/WlEFlluGfZ #tradingstyle https://t.co/TkMtJQKatx
  • By issuing debt denominated in $USD, China is making a long-term bet that it will be cheaper to pay back its loans over time in the US Dollar; it believes the value of the US Dollar will fall. Get your market update from @CVecchioFX here:https://t.co/5GO9UrvO4y https://t.co/xV9urXXf48
  • What are some risk trading management techniques? Find out: https://t.co/RShdlDz9RA #tradingstyle https://t.co/M3ASPIHAep
  • #Dow Jones stages impressive recovery on a firm NFP report. #FTSE 100 eyes UK general election. Get your equities technical analysis from @JMcQueenFX here: https://t.co/o28UcG6N3l https://t.co/SwGAaFCFND
  • Why do you require consistency in trading and why does it matter? Find out: https://t.co/f4y1FOOZnM #tradingstyle https://t.co/x5HgYopWc5
  • The USD may rise if the FOMC re-affirms its data-dependent approach and cools 2020 rate cut bets. US retail sales and CPI data may also give the Fed impetus to hold rates. Get your $USD market update from @ZabelinDimitri here: https://t.co/XnDITaDOox https://t.co/A480uVMqF2
  • What tools does the ECB have left to stimulate the Eurozone? Where is the #Euro heading? Find out from Chief Eurozone Economist at Pantheon Macroeconomics Claus Vistesen only on Trading Global Markets Decoded #podcast hosted by @MartinSEssex here:https://t.co/Twr44cZ1GB https://t.co/DXlDH5Cp9e
JPY Remains Quietly Strong As French Election Risk Remains

JPY Remains Quietly Strong As French Election Risk Remains

2017-04-04 18:30:00
Tyler Yell, CMT, Currency Strategist
Share:

Access the DFX Q2 Market Forecasts HERE

Talking Points:

The Japanese Yen broke higher with JPY volatility gaining as a dominate risk prevails, the French Election. USD/JPY looks ready to break below 110 as the pair trades well within a falling price channel drawn with Andrew’s Pitchfork. JPY demand is seen throughout G10, which may persist unless the French election outcomes become clear. In addition to the global macro risk, we see reasons for a strong JPY within Japan as well with the recent Tankan survey showing pressure remains due to the anticipation of further JPY strength.

USD/JPY traded close to the March low of 110.07 on Tuesday, but there does not appear to be an environment supportive of a weak JPY anytime soon. UST Yields remain near multi-month support, and a breakdown, which would not be anticipated to carry far could easily keep a lid on USD/JPY upside and add a boost of USD/JPY shorts.

A technical break of 110 coupled with a drop in UST Yields would favor a move toward the 200-DMA that sits at 108.30. There is an attractive cluster of downside targets with a 100% Fibonacci Expansion of the December, February, and March price extremes near 108.43. The trade will hold with a stop at 112.20, the March 31 high, and target 108.43.

Another technical point with mentioning is the near-breakout per Ichimoku on the daily USD/JPY chart. Should the lagging line break below the cloud, it would provide a further preference of the current move lower in USD/JPY continuing.

Interested in Joining Our Analysts, Instructors, or Strategists For a Free Webinar? Register Here

JPY Remains Quietly Strong As French Election Risk Remains

Chart Created by Tyler Yell, CMT

USD/JPY IG Trader Sentiment

JPY Remains Quietly Strong As French Election Risk Remains

USDJPY: Retail trader data shows 74.0% of traders are net-long with the ratio of traders long to short at 2.85 to 1. In fact, traders have remained net-long since Jan 09 when USDJPY traded near 117.189; the price has moved 5.5% lower since then. The number of traders net-long is 7.4% higher than yesterday and 2.3% lower from last week, while the number of traders net-short is 20.9% lower than yesterday and 12.2% lower from last week.

We typically take a contrarian view to crowd sentiment, and the fact traders are net-long suggests USDJPY prices may continue to fall. Traders are further net-long than yesterday and last week, and the combination of current sentiment and recent changes gives us a stronger USDJPY-bearish contrarian trading bias.(Emphasis Mine)

---

Shorter-Term USD/JPY Technical Levels: Tuesday, April4, 2017

For those interested in shorter-term levels of focus than the ones above, these levels signal important potential pivot levels over the next 48-hours.

JPY Remains Quietly Strong As French Election Risk Remains

Contact and discuss markets with Tyler on Twitter: @ForexYell

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

DISCLOSURES

News & Analysis at your fingertips.