USDJPY jumps off of S1 pivot support and power ahead
The left chart shows USDJPY daily price action. As can be seen it is in mark-up phase. This is characterised by a bullish EMA formation. I.e. the green 5-day EMA is above the orange 13-day EMA, and the orange 13-day EMA is above the black 34-day EMA.
The right chart shows hourly price action. Price found support at a key level with a confluence of factors including, S1 pivot support and price support (green rectangle).
The mark-up phase coincides with strong USD demand and an ultra-dovish policy by the BoJ. The US 10-yr is also attracting USDs as its spread with the Japanese 10-yr increases, making the carry trade more desirable.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.