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
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
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
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
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
GBP/USD
Bullish
USD/JPY
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
More View more
Real Time News
  • $USD hegemony is at risk thanks to changes in the global economy and the long-term consequences of the US-China trade war. Get your market update from @CVecchioFX here:https://t.co/5GO9UrvO4y https://t.co/OTTEmg76W8
  • The immediate focus is on a break of this multi-week consolidation formation in the Australian Dollar with the broader rally vulnerable while below 7042. Get your AUD technical analysis here: https://t.co/iEYos1ioBc https://t.co/kuzB3Eqps0
  • #Gold prices have rallied to nine-year highs with the breakout testing multi-year uptrend resistance into the open of Q3. Can the rally be sustained? Download our latest Gold trading guide!: https://t.co/3KO2QWOnOt https://t.co/YIIGZdeIAJ
  • Why financial market traders must monitor both monetary and fiscal policy? Find out from @MartinSEssex here:https://t.co/Fkzk88Y5gm https://t.co/zerRXZC1Tq
  • Get your snapshot update of the of relative currency strength and exchange status from around the globe here: https://t.co/DmhBkd4B0k https://t.co/uj93z2SHpH
  • The Australian Dollar’s surge from the March lows may be coming to an end as bearish patterns begin to line up on multiple time-frames. Check out our #AUD trading guide to learn more here: https://t.co/pjfm07tqFd https://t.co/VypHLra1ER
  • The Evening Star candlestick is a three-candle pattern that signals a reversal in the market and is commonly used to trade forex. Learn more about the evening star candlestick pattern here: https://t.co/8OTE7m01IG https://t.co/Vumcng7UB3
  • After a miraculous recovery in Q2, equity markets will be left juggling the Fed’s policy and the threat of a second covid wave, all in an election year. Evidently, traders will have their hands full in Q3. Read our equity forecast here: https://t.co/JARqbOKIeM https://t.co/Ms6zEucjqg
  • Hey traders! I'm sure you've all heard about trend trading. Sharpen your knowledge here: https://t.co/jkliL5sxj7 https://t.co/uvlv1MCAHI
  • $GBPUSD posts impressive Q2 recovery, however, what upside challenges lie ahead in Q3? Download our #GBP trading guide to find out: https://t.co/ZE0yjc6wdQ https://t.co/bFa90VJYor
Japanese Yen Price Outlook: USD/JPY Rebound Could be Short Lived

Japanese Yen Price Outlook: USD/JPY Rebound Could be Short Lived

2020-06-24 18:30:00
Michael Boutros, Strategist
Share:

Japanese Yen Technical Price Outlook: DXY Weekly Trade Levels

  • Japanese Yen technical trade levels update – Weekly Chart
  • USD/JPY sell-off responds to technical support at 106.31
  • Broader risk remains for a deeper correction while below yearly open resistance

The Japanese Yen is poised to snap a two week winning streak against the US Dollar with USD/JPY virtually unchanged on Wednesday after rebounding off technical support. While the threat of a broader decline remains, the immediate sell-off may be vulnerable here and a near-term recovery may offer more favorable opportunities. These are the updated targets and invalidation levels that matter on the USD/JPY weekly price chart. Review my latest Strategy Webinar for an in-depth breakdown of this Yen trade setup and more.

Starts in:
Live now:
Jul 06
( 12:07 GMT )
Live Weekly Strategy Webinars on Mondays at 12:30GMT
Weekly Scalping Webinar
Register for webinar
Join now
Webinar has ended

Japanese Yen Price Chart – USD/JPY Weekly

Japanese Yen Price Chart - USD/JPY Weekly - Dollar vs Yen Trade Outlook - Technical Forecast

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

Notes: In last month’s Japanese Yen Weekly Price Outlook we highlighted critical resistance, “at the 61.8% retracement of the late-March decline / 2019 open at 109.53/68 – look for a larger reaction there for guidance.” The Dollar ripped higher into the open of June trade with a rally of more than 2% failing to close above this key threshold (intraday high registered at 109.85). Price turned sharply lower with the decline now testing the 61.8% extension of the March decline at 106.3- a weekly close below this threshodl is needed to keep the immediate short-bias viable in the days ahead.

Weekly resistance now stands at the 61.8% retracement of the monthly range / 2020 yearly open at 108.40/62 backed by 109.53/68- a close above this threshold is needed to shift the broader focus back to the long-side. A break lower from here exposes subsequent support objectives at 105.20 backed by the 2018 low at 104.62 and the 100% extension at 104.12.

JPY Forecast
JPY Forecast
Recommended by Michael Boutros
Download our Japanese 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 Japanese Yen has covered the last two-month’s range in just the past few three weeks and the focus is on this support zone near the May lows in USD/JPY. From a trading standpoint, a good region to reduce short-exposure / lower protective stops – look for topside exhaustion ahead of yearly open resistance at 108.62 on recoveries IF price is indeed heading lower with a break below exposing key Fibonacci support. Review my latest Japanese Yen Price Outlook for a closer look at the near-term USD/JPY technical trade levels.

Japanese Yen Trader Sentiment – USD/JPY Price Chart

Japanese Yen Trader Sentiment - USD/JPY Price Chart - Dollar vs Yen Trade Outlook - Technical Forecast
  • A summary of IG Client Sentiment shows traders are net-long USD/JPY - the ratio stands at +1.54 (60.71% of traders are long) – bearish reading
  • Long positions are1.52% lower than yesterday and 10.07% higher from last week
  • Short positions are 14.74% higher than yesterday and 1.68% 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. Traders are less net-long than yesterday but more net-long from last week. The combination of current positioning and recent changes gives us a further mixed USD/JPY trading bias from a sentiment standpoint.
USD/JPY MIXED
Data provided by
of clients are net long. of clients are net short.
Change in Longs Shorts OI
Daily 3% 5% 4%
Weekly 17% 12% 15%
Learn how shifts in USD/JPY retail positioning impact trend
Get My Guide

---

Previous Weekly Technical Charts

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

News & Analysis at your fingertips.