USD/JPY Price Forecast – US Dollar Gives Up Early Gains Against Yxen
The US dollar initially tried to rally during the course of the trading session on Monday but gave back some of the gains in order to form a less than impressive candlestick. That being said, the market is likely to pull back just a bit further, as the US dollar looks as if it is struggling across-the-board. The 50 day EMA sits at the ¥112.50 level, which is an area that a lot of people would pay close attention to. After that, the market then goes looking towards the ¥110 level.
USD/JPY Video 09.11.21
Quite frankly, this is a market that is trying to build up enough momentum to finally break above the ¥115 level, and if we do it becomes more of a “buy-and-hold” type of scenario. It is worth noting that the ¥115 level has been a massive amount of resistance for quite some time.
The 200 day EMA sits at the ¥110 level and is rising. If we were to break down below that level, then it could change the entire complexion of the Japanese yen overall. That being said, I do think that what we have a scenario where we are simply trying to figure out whether or not the Japanese yen is going to continue to be pummeled by multiple other currencies, or if we have finally run to the top of the overall range. In general, I think it is probably best to wait for some type of support after a pullback. The market will continue to be noisy and reflect risk appetite.
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