During the Asian markets, the USD/JPY closed at 108.604 after placing a high of 108.737 and a low of 108.344. Overall the movement of the pair remained bullish.
The Dollar-Yen pair edged high after the news came in that the Phase-one deal of US & China trade deal may not be completed this year. This news indicated the need for safe-haven and possibility of another hike in tariffs.
On Wednesday, Reuters reported that completion of Phase-one of the US-China Trade deal could slip into next year because of increased tension between both countries. The US has threatened China to impose more tariffs on Chinese goods if they do not sign the Phase-one deal by mid- December.
The threat came after when China demanded tariff rollback as part of the phase-one deal, but Trump denied, and China showed reluctance to sign the phase-one agreement.
-637099478105114264.png)
The USD/JPY continues trading sideways at 108.650, staying below the 50 periods EMA resistance level of 108.700. On the 240 minutes chart, the pair has formed a symmetric triangle pattern, which is suggesting chances of bullish or a bearish breakout in USD/JPY. The pair can break either side, depending upon fundamental release.
The USD/JPY has immediate support around 108.300, and violation of this can trigger sell-off until 108.
USD/JPY - Trade Setup
1) Buy Above 108.350
Take Profit 108.650
Stop Loss 108.050
2) Sell Below 108.750
Take Profit 108.350
Stop Loss 109.050
Risk Warning: CFD and Spot Forex trading both come with a high degree of risk. You must be prepared to sustain a total loss of any funds deposited with us, as well as any additional losses, charges, or other costs we incur in recovering any payment from you. Given the possibility of losing more than your entire investment, speculation in certain investments should only be conducted with risk capital funds that if lost will not significantly affect your personal or institution’s financial well-being. Before deciding to trade the products offered by us, you should carefully consider your objectives, financial situation, needs and level of experience. You should also be aware of all the risks associated with trading on margin.
Recommended Content
Editors’ Picks
EUR/USD clings to daily gains above 1.0650
EUR/USD gained traction and turned positive on the day above 1.0650. The improvement seen in risk mood following the earlier flight to safety weighs on the US Dollar ahead of the weekend and helps the pair push higher.
GBP/USD recovers toward 1.2450 after UK Retail Sales data
GBP/USD reversed its direction and advanced to the 1.2450 area after touching a fresh multi-month low below 1.2400 in the Asian session. The positive shift seen in risk mood on easing fears over a deepening Iran-Israel conflict supports the pair.
Gold holds steady at around $2,380 following earlier spike
Gold stabilized near $2,380 after spiking above $2,400 with the immediate reaction to reports of Israel striking Iran. Meanwhile, the pullback seen in the US Treasury bond yields helps XAU/USD hold its ground.
Bitcoin Weekly Forecast: BTC post-halving rally could be partially priced in Premium
Bitcoin price shows no signs of directional bias while it holds above $60,000. The fourth BTC halving is partially priced in, according to Deutsche Bank’s research.
Week ahead – US GDP and BoJ decision on top of next week’s agenda
US GDP, core PCE and PMIs the next tests for the Dollar. Investors await BoJ for guidance about next rate hike. EU and UK PMIs, as well as Australian CPIs also on tap.