USD/JPY Price Forecast – US dollar continues to pull back

The US dollar has fallen a bit during the trading session on Thursday, as we simply don’t know what to do with the risk parameters around the world. Ultimately, this is a market that is very risk sensitive, so it makes sense that we pulled back a bit during the trading on a lot of different global fears. Looking at the ¥110 level, it’s obvious that we have a lot of noise out there that could affect what happens next, so clearly we need to pay close attention. However, it does look as if there is a thick support level that extends all the way down to the ¥109 level, so it’s not until we break down below there that I am willing to start shorting this market, but if that does get broken it’s very likely that we go down to the ¥108 level.

USD/JPY Video 24.05.19

Looking at the chart, I do think that it’s only a matter of time before the buyers come back so I will wait for a supportive candle stick to take advantage of a bit of value. There is still a gap above that hasn’t been filled, which of course the markets like to do. That gives me a target of ¥111.15, and I do think that we get there eventually. That would also coincide with the 200 day EMA, so that of course is a very good sign that the market will probably take profits anyway. Pay attention to the S&P 500, quite frankly this is a market that has a high correlation to it.

Please let us know what you think in the comments below