USD/JPY Price Forecast – US Dollar Choppy Against Yen

The US dollar has gone back and forth during the trading session on Tuesday, as we continue to see a lot of confusion about what type of risk situation that the market is in. Ultimately, this is a market that features a couple of safety currencies, and therefore it makes quite a bit of sense that we have a bit of neutrality between the two, because money will flow towards the US dollar due to its world’s reserve currency status, and of course the fact that the US Treasury markets attract so much flows, especially when people are concerned. On the other hand, you have the Japanese yen which is considered to be a major safety currency as well. In a time where people are concerned, it makes quite a bit of sense that there is a lot of back and forth.

USD/JPY Video 22.04.20

At the ¥107 level I expect to see a certain amount of support, so if we were to break down below that level it’s likely that we could go down to the ¥105 level. On the other hand, if we turn around and rally it’s likely that we could go to the ¥109 level where I see a significant amount of resistance. Break above there allows the market to go to the ¥111 level, and therefore I think you can trade back and forth and aim for 200 point range is as we go along. It certainly looks as if the downward pressure seems to be winning the day now though.