Slobodan Drvenica
Windsor Brokers
USD/JPY
USDJPY keeps firm tone and holds within a narrow range just under new multi-month highs (147.87/95) in European trading on Monday.
Today’s quiet mode is mainly due to lower volumes as Japan is shut for holidays, while traders became more cautious ahead of two key events this week – US Federal Reserve and Bank of Japan policy meetings.
The Fed will end its two-day meeting on Thursday and BOJ meets on Friday, with both central banks widely expected to stay on hold this time, though surprises cannot be ruled out, especially after recent comments from BOJ governor who mentioned possible earlier than expected start of tightening monetary policy.
Markets are likely to face increased volatility this week, with focus on comments from FOMC, in light of recent solid economic data, which partially ease pressure on Fed and BOJ’s guidance about the conditions required to start reversing current negative policy.
Technical structure is positive and reinforced by four consecutive weekly closes above former pivotal resistance, now reverted to strong support at 146.10 (Fibo 76.4% of 151.94/127.22) as well as strong bullish momentum.
Near-term bias is expected to remain with bulls while the action stays above 146.10 and keep in play hopes of final push towards psychological 150 barrier (last time tested in mid-October 2022).
Caution on break below 146.10 which would risk deeper pullback and.
Res: 148.00; 148.59; 148.84; 149.70.
Sup: 147.16; 146.10; 145.06; 144.44.
Interested in USD/JPY technicals? Check out the key levels
The information contained in this document was obtained from sources believed to be reliable, but its accuracy or completeness cannot be guaranteed. Any opinions expressed herein are in good faith, but are subject to change without notice. No liability accepted whatsoever for any direct or consequential loss arising from the use of this document.
Recommended Content
Editors’ Picks
EUR/USD loses traction, retreats below 1.0600
EUR/USD lost its recovery momentum and declined below 1.0600 in the American session on Friday, erasing a portion of its daily gains in the process. Nevertheless, the risk-positive market atmosphere after PCE inflation data helps the pair limit its losses.
GBP/USD turns negative on the day below 1.2200
GBP/USD reversed its direction and slumped below 1.2200 in the American session on Friday after rising above 1.2270 earlier in the day. Position readjustments and profit-taking on the last trading day of the quarter seems to be weighing on Pound Sterling.
Gold reverses direction, drops below $1,860
Following a steady rebound toward $1,880 on Friday, Gold price made a sharp U-turn and turned negative on the day near $1,860. Although the 10-year US T-bond yield is down more than 1%, XAU/USD struggles to find demand on the last day of Q3.
Polkadot Price Forecast: DOT reversal seems inevitable after 92% correction from all-time high
Polkadot price, in nearly two years, has shed 92.91% from its all-time high of $55.09. The massive downswing in DOT has pushed it down to levels that were last seen in October 2020. Hence, the chances of this altcoin forming a bottom and rallying are high.
Earnings beat triggers Nike to spike 9%
Nike (NKE) stock has surged over 9% in Friday’s premarket, climbing above $98 per share, following late Thursday’s fiscal first-quarter earnings release. Nike beat pessimistic earnings expectations by more than 23% and hiked its dividend by 9%.