The USDJPY pair has been patiently trading in a shallow angled channel particularly without any whipsaws caused by Greece vs EU recent developments. Safe heaven flows have been moved to USD and Yen making the pair additionaly stable while trade balance ( the difference in value between imported and exported goods and services ) in July came mostly as expected only slightly missing the forecast ( -41.9B actual VS -42.4 forecast), while Japan’s country economy continues to recover at a slightly moderate pace.
Watching H4 timeframe we can spot a shallow angled down channel and the price reacting to Historical sellers. As I have suggested on yesterday webinar with Admiral Markets, pullbacks towards 122.90 could give us short opportunities which is currently happening. 122.80-90 is still POC as we could see DPP and Trend line confluence just below 123.20 Strong Resistance marked by a retail gap (which has been closed) and Historical vs Now moment sellers.
USDJPY is going for 122.25 then 121.75 and only the break out and H4 close below 121.70 will target 120.90.
The analysis and the article presents Nenad's opinion. Remember, financial trading is highly speculative & may lead to the loss of your funds. Proper risk management is the Holy Grail of trading.
Recommended Content
Editors’ Picks
AUD/USD remained bid above 0.6500
AUD/USD extended further its bullish performance, advancing for the fourth session in a row on Thursday, although a sustainable breakout of the key 200-day SMA at 0.6526 still remain elusive.
EUR/USD faces a minor resistance near at 1.0750
EUR/USD quickly left behind Wednesday’s small downtick and resumed its uptrend north of 1.0700 the figure, always on the back of the persistent sell-off in the US Dollar ahead of key PCE data on Friday.
Gold holds around $2,330 after dismal US data
Gold fell below $2,320 in the early American session as US yields shot higher after the data showed a significant increase in the US GDP price deflator in Q1. With safe-haven flows dominating the markets, however, XAU/USD reversed its direction and rose above $2,340.
Bitcoin price continues to get rejected from $65K resistance as SEC delays decision on spot BTC ETF options
Bitcoin (BTC) price has markets in disarray, provoking a broader market crash as it slumped to the $62,000 range on Thursday. Meanwhile, reverberations from spot BTC exchange-traded funds (ETFs) continue to influence the market.
US economy: slower growth with stronger inflation
The dollar strengthened, and stocks fell after statistical data from the US. The focus was on the preliminary estimate of GDP for the first quarter. Annualised quarterly growth came in at just 1.6%, down from the 2.5% and 3.4% previously forecast.