USD/JPY Price Forecast – US dollar pulls back against Japanese yen

The US dollar pulled back just a bit against the Japanese yen during the trading session on Tuesday, as we continue to bounce around overall. Remember that this pair is very likely to move right along with risk appetite, and of course the stock markets. With that being the case it’s interesting to watch how the S&P 500 took up little bit of a hammering overnight, but the E-mini contract has turned around a bit. Overall, this market should continue to see quite a bit of support underneath at the ¥110 level, and then the ¥112 level above. Overall, this market looks to be very likely to stay around and shop in this area.

USD/JPY Video 08.05.19

If we were to break down below the ¥110 region, then we probably reach towards the ¥109 level and then eventually the ¥108 level. At this point, there’s so much in the way of noise in this market though it’s difficult to imagine that we break out of this range as we can see so much volatility and choppiness here. As there are a lot of concerns around the global economy and of course the trade negotiations between the United States and China. This will probably react right along with those announcements, either good or bad. Remember, this is a risk barometers so if we get some type of resolution it could send this market much higher. However, the meantime I think we simply bounce around in the 200 point range.

Please let us know what you think in the comments below