Short-Term Forex Technical Outlook: USD/JPY

Currency Pair: USD/JPY
Chart: 60 Min Charts
Short-Term Bias: Bearish

The U.S. dollar strengthened against the Japanese yen after falling nearly 100pips on Monday, but as risk trends continue to dictate price action in the forex market, the technical forecast favors a bearish outlook for the USDJPY. After reaching a low of 87.14 in December, the pair pushed higher to reach 94.61 on 1/6, but the sharp retracement from the January high suggests that investors remain risk adverse. As a result, I expect the pair to hold its bearish trend over the near-term, but the recent strength in the greenback could lead the pair to fill in the gap from the 120 SMA.

DailyFX

Disclaimer

Investment in the currency exchange is highly speculative and should only be done with risk capital. Prices rise and fall and past performance is no assurance of future performance. This website is an information site only. Accordingly we make no warranties or guarantees in respect of the content. The publications herein do not take into account the investment objectives, financial situation or particular needs of any particular person. Investors should obtain individual financial advice based on their own particular circumstances before making an investment decision on the basis of the recommendations in this website. While we try to ensure that all of the information provided on this website is kept up-to-date and accurate we accept no responsibility for any use made of the information provided. All intellectual property rights are the property of Daily FX. Daily FX and its affiliates, will not be held responsible for the reliability or accuracy of the information available on this site. The content herein is provided in good faith and believed to be accurate, however, there are no explicit or implicit warranties of accuracy or timeliness made by Daily FX or its affiliates. The reader agrees not to hold Daily FX or any of its affiliates liable for decisions that are based on information from this website. Daily FX highly recommends that before making a decision, the reader collects several opinions related to the decision and verifies facts from at least several independent sources.