USD/JPY Price Forecast – US dollar continues to grind against the Japanese yen
The US dollar went back and forth during the trading session on Friday, as we continue to grind between the ¥111.50 level and the ¥112 level. Ultimately, this is a market that I believe continues to see a lot of noise in this area, so it’s very difficult to put a lot of money to go one way or the other until we get a bit of clarity. Right now, we don’t have much in the way of clarity, so I think we simply must continue to pay attention to the S&P 500, which of course will have an influence on this pair as per usual.
USD/JPY Video 18.03.19
If we were to break above the ¥112 level, and the S&P 500 broke out, then I would be much more comfortable while being long of the pair, all the way to the ¥113.50 level. On the other hand, if we see the S&P 500 rollover, and this pair breaks down below the ¥111 level, then I would expect the market to reach down towards the ¥110 level. This is a market that continues to be very noisy and difficult, so at this point I’m basically on the sidelines waiting for the market to tell me which direction it wants to go before putting money to work, which at these crucial levels is always a wise choice when you aren’t quite sure what’s about to happen. Once we get an impulsive candle in one direction or the other, then we can start to trade this pair again.
Please let us know what you think in the comments below