Mon, Mar 27, 2023 @ 15:51 GMT
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USD/JPY Analysis: Attempts to Remain above 109.00

"We hope the BoJ uses the upcoming meeting as an opportunity to remove this confusion, a factor that should help to stabilise the ¥. We remain neutral until then."

– Westpac (based on FXStreet)

Pair’s Outlook

Rather mixed fundamental data on Thursday caused the US Dollar not only to avoid losses, but also to refrain from posting any substantial gains. As a result, the USD/JPY currency pair provided the descending channel’s support line with an additional confirmation, indicating that price might soon rebound and begin its journey towards the 112.00 level. Although daily technical indicators are unable to confirm a recovery, the longer timeframe ones can. Moreover, the 200-day SMA is bolstering the channel’s lower border, which should be sufficient for the Buck to bounce back from the 109.00 mark. In case the given support area fails to hold, risks of plunging towards 105.00 would arise.

Traders’ sentiment

Nearly three quarters (73%) of all open positions are now long. At the same time, the number of buy orders edged up from 56 to 61%.

Dukascopy Swiss FX Group
Dukascopy Swiss FX Group
This overview can be used only for informational purposes. Dukascopy SA is not responsible for any losses arising from any investment based on any recommendation, forecast or other information herein contained.

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