USD/JPY: Is the rally off 107.10 more than just another chance to sell? [Video]

Richard Perry Independent Analyst

USD/JPY

The dollar looked to build some support yesterday as the corrective momentum of the recent decline just had the pause button pushed. The question is whether the dollar is regaining momentum or whether yesterday’s rally off 107.10 is something more than just another chance to sell. Corrective momentum building on the Stochastics (confirmed sell-signal) suggest that the yen is strengthening now. Given the MACD lines rolling over and RSI back under neutral, if these configurations also continue to develop, then the resistance around 108.25/109.00 looks to be a near term sell-zone. It is interesting to see the market picking up early today, but also that move is just fading coming into the European session, leaving resistance at 108.70. The hourly chart indicators unwinding towards areas where the sellers have previously re-entered the fray. Hourly RSI failing around 60 is especially notable, whilst hourly MACD lines threaten a bear cross around neutral. Volatility is still elevated and this could certainly impact on the timing, but intraday rallies look to be a chance to sell now. Initial support 107.50/107.70 and below 107.10 re-opens the corrective momentum to test 106.50 and then on towards 105.00. Above 109.30 improves the outlook.

Author

Richard Perry

Independent Analyst

EUR/USD softens below 1.1800 on Fed hawkish remarks

The EUR/USD pair edges lower to around 1.1775 during the early Asian session on Wednesday, pressured by a renewed US Dollar demand. Traders await the US President Donald Trump's State of the Union address later on Wednesday for clarity on fiscal policies.

GBP/USD regains 1.3500 and above

GBP/USD extends its advance for the third day in a row on Tuesday, this time retesting the area beyond the 1.3500 hurdle. Cable’s uptick comes despite decent gains in the Greenback and the dovish message from the BoE’s Bailey at the UK Parliament.

Gold consolidates below $5,150 as traders await Trump's State of the Union address

Gold steadies below the $5,150 level following the previous day's pullback from the monthly peak as traders opt to wait on the sidelines ahead of Trump's State of the Union address. In the meantime, trade-related uncertainties and geopolitical risks seem to act as a tailwind for the safe-haven bullion. However, the Fed's less hawkish outlook underpins the US Dollar, which, along with a positive risk tone, caps the upside for the non-yielding yellow metal.

Coinbase launches stocks and ETF trading amid ongoing plans for all-in-one platform

Coinbase has launched stocks and ETF trading for US customers on its platform, according to an X post on Tuesday. The service offers commission-free trading available 24 hours a day, five days a week, for eligible securities. Traders deposit US dollars or USDC to fund positions and access fractional shares as low as $1.

The Citrini report: How a debatable AI narrative can shake Wall Street

That AI-related headline alone was enough to rattle investors.US stocks slid sharply on Monday after a widely circulated Citrini Research memo outlined a hypothetical “2028 Global Intelligence Crisis”, warning that rapid AI adoption could push US unemployment into double digits as early as by mid-2028.

XRP pressured by weak ETF flows and declining retail interest

Ripple (XRP) is edging lower, trading above its intraday low of $1.32 at the time of writing on Tuesday. The decline from its weekly opening of $1.39 reflects heightened volatility in the broader cryptocurrency market, accentuated by tariff-triggered uncertainty.