USD/JPY Price Forecast – US Dollar Continues to Hover Around ¥110

The US dollar has rallied a bit against the Japanese yen to kick off the Friday session, but the ¥110 level seems to be a bit of a “brick wall” for the session. Keep in mind that we are essentially hovering back and forth most of the time anyway, so I would not get overly excited about any move at this point. I believe that this is a market that is trying everything it can to find some type of momentum, but as things stand right now it looks as if we are essentially stuck in the same place.

USD/JPY Video 13.09.21

Short-term traders will find this market very interesting, but for those looking for a bigger move, you need to look elsewhere. After all, the market has shown itself to be unreliable as far as momentum is concerned, with the ¥110 level acting as a bit of a magnet for price. To the upside, the ¥110.75 level is an area of extreme resistance, so breaking above that would be a huge victory for the bulls. To the downside, the ¥109 level is rather important, so keep that in mind as well. That is an area that I would anticipate seeing a lot of support at, as the 200 day EMA sits in that general vicinity and could offer a bit of technical support.

With this, I think if you can use a short term range bound system, you will probably do okay. However, once we break out of one of these levels, then I anticipate that the market will be much easier to produce profits from. Keep in mind that it is highly sensitive to risk appetite.

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