USD/JPY Price Forecast – US Dollar Goes Back and Forth Yet Again

The US dollar went back and forth against the Japanese yen during the trading session on Friday as we continue to see a lot of confusion. This confusion of course is a major issue, as traders are looking for safety, and as a general rule they will go to one of these two currencies. When both of them get a bit of a bid, that causes mass confusion in this pair. Furthermore, there just is not anywhere for this pair to be. The ¥107.50 level tends to be a bit of a magnet for price, so do not be surprised at all to see this market had back towards that area. However, it is likely that we could see some type of resistance in that area as well, considering that the 50 day EMA is sitting right there. Above the 50 day EMA, there is the 200 day EMA so there is a bit of a “zone of resistance” just waiting to happen in this region.

USD/JPY Video 22.06.20

If we break down below the 160 and level, then it could open up the door down to the ¥105 level, but I do not think that happens anytime soon. Quite frankly, this is a pair that I use as a relative strength indicator for the Japanese yen itself, so it is not until we get some type of impulsive candlestick here that I would be a big trader in this pair. However, this pair falls then it is likely that we can short the CAD/JPY pair, NZD/JPY pair, and the like. Ultimately, the market has a lot of volatility built into it. Obviously, if this pair was a go higher, then you could be looking to buy this pairs.

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