USD/JPY Price Forecast – US dollar breaks down on Friday

The US dollar fell against the Japanese yen during trading on Friday, reaching towards the ¥110 level. If we break down below that level and close below there on a daily chart, it’s very likely that we will continue to struggle overall as the market will more than likely continue to look at the ¥110 level as important. A breakdown below that level opens the door to the 10 ¥8.50 level, perhaps extending down to the ¥108 level.

USD/JPY Video 25.03.19

To the upside I still see the ¥111.50 level as massive resistance that extends to the ¥112 level. Overall, the 50 day and the 200 day EMAs are both just above, so that is a bit bearish as well. With the Federal Reserve stepping away from the idea of being hawkish, it wouldn’t be a huge surprise to see this market break down further. That being said, we have the levels to pay attention to, and of course they will direct us as to where we go next.

Looking at this chart, this is a sign that we may continue to see a bit of a “risk off” attitude as well, so pay attention to that if your trading other markets. Expect a lot of choppiness and volatility, but as we go into the weekend it’s obvious that traders are cautious and a bit concerned. Ultimately, looking at this market it seems as if it will be all but impossible to put a lot of money to work as we are at important levels.

Please let us know what you think in the comments below