USD/JPY Forex Technical Analysis – September 6, 2019 Forecast

Based on yesterday’s close at 106.941 and the current price action, the direction of the USD/JPY the rest of the session on Friday is likely to be determined by trader reaction to the main 50% level at 106.890.
James Hyerczyk
USD/JPY

The Dollar/Yen is trading slightly higher early Friday. The tight trading range and relatively low volume indicates the major players are sitting on the sidelines ahead of the release of the U.S. Non-Farm Payrolls report at 12:30 GMT. The results of the report should set the tone for the rest of the session.

At 06:21 GMT, the USD/JPY is trading 107.009, up 0.068 or +0.05%.

Daily USD/JPY

Daily Technical Analysis

The main trend is down according to the daily swing chart. However, momentum has been trending higher since the formation of the closing price reversal bottom at 104.463 on August 26. The main trend will change to up on a trade through 109.317. A move through 104.463 will signal a resumption of the downtrend.

The minor trend is up. This confirms the shift in momentum. A trade through 105.743 will change the minor trend to down. This will also shift momentum to the downside.

The main range is 109.317 to 104.463. Its retracement zone at 106.890 to 107.463 is currently being tested. This zone is controlling the near-term direction of the USD/JPY.

The minor range is 104.463 to 107.231. Its 50% level or pivot at 105.847 is a possible downside target.

Daily Technical Forecast

Based on yesterday’s close at 106.941 and the current price action, the direction of the USD/JPY the rest of the session on Friday is likely to be determined by trader reaction to the main 50% level at 106.890.

Bullish Scenario

A sustained move over 106.890 will indicate the presence of buyers. The first two upside targets are yesterday’s high at 107.231 and the main Fibonacci level at 107.463. Taking out the Fib level could trigger a rally into the downtrending Gann angle at 107.692.

Since the main trend is down, sellers could come in at 107.692. However, this angle is also the trigger point for an acceleration to the upside with the next target angle coming in at 108.505.

Bearish Scenario

A sustained move under 106.890 will signal the presence of sellers. The first target is an uptrending Gann angle at 106.713. This angle is a potential trigger point for an acceleration to the downside with targets coming in at 106.067, 105.847 and 105.743.

Overview

You can also use the main retracement zone as trigger points for accelerations. Look for an upside bias to develop on a sustained move over 107.463, and for a downside bias to develop on a sustained move under 106.890.

Don't miss a thing!

Discover what's moving the markets. Sign up for a daily update delivered to your inbox

Latest Articles

See All

Expand Your Knowledge

See All

Top Promotions

Top Brokers

IMPORTANT DISCLAIMERS
The content provided on the website includes general news and publications, our personal analysis and opinions, and contents provided by third parties, which are intended for educational and research purposes only. It does not constitute, and should not be read as, any recommendation or advice to take any action whatsoever, including to make any investment or buy any product. When making any financial decision, you should perform your own due diligence checks, apply your own discretion and consult your competent advisors. The content of the website is not personally directed to you, and we does not take into account your financial situation or needs.The information contained in this website is not necessarily provided in real-time nor is it necessarily accurate. Prices provided herein may be provided by market makers and not by exchanges.Any trading or other financial decision you make shall be at your full responsibility, and you must not rely on any information provided through the website. FX Empire does not provide any warranty regarding any of the information contained in the website, and shall bear no responsibility for any trading losses you might incur as a result of using any information contained in the website.The website may include advertisements and other promotional contents, and FX Empire may receive compensation from third parties in connection with the content. FX Empire does not endorse any third party or recommends using any third party's services, and does not assume responsibility for your use of any such third party's website or services.FX Empire and its employees, officers, subsidiaries and associates, are not liable nor shall they be held liable for any loss or damage resulting from your use of the website or reliance on the information provided on this website.
RISK DISCLAIMER
This website includes information about cryptocurrencies, contracts for difference (CFDs) and other financial instruments, and about brokers, exchanges and other entities trading in such instruments. Both cryptocurrencies and CFDs are complex instruments and come with a high risk of losing money. You should carefully consider whether you understand how these instruments work and whether you can afford to take the high risk of losing your money.FX Empire encourages you to perform your own research before making any investment decision, and to avoid investing in any financial instrument which you do not fully understand how it works and what are the risks involved.
FOLLOW US