USD/JPY Price Forecast – US Dollar Continues To Grind Against Japanese Yen

The US dollar has rallied a bit during the trading session on Friday, breaking above the ¥110 level but has also given back quite a bit of the gains. This being the case, the market is sluggish and probably pulls back a bit to try to find some type of momentum. Quite frankly, it looks as if the market is overextended and doesn’t have anywhere to be, and now that we have gotten past the US/China trade situation, there isn’t much to move the markets. Volatility is completely dead, and market simply aren’t moving.

USD/JPY Video 20.01.20

If that’s going to be the case, this pair won’t be any different either. If we do pull back it’s very likely that the ¥109.50 level offer support, and probably brings in more buyers to try to push this market to the upside. Ultimately, we make yet another high, the market probably stalls and doesn’t have anywhere to be either. At one point, it looked as if the market was going to make a huge move but perhaps it has ruined the possibility of breaking out with any strength due to the fact that about so hard into this new high. That being said, I don’t have any interest in shorting but I do think that picking up value on dips probably works but you have to keep your expectations realistic here, the markets are doing anything so we are seeing the average true Range dropped drastically around the world. Eventually things will change, but right now there isn’t much going on.

Please let us know what you think in the comments below