USD/JPY Price Forecast – US Dollar Testing ¥115 Yet Again

The US dollar has rallied during the trading session to reach towards the ¥115 level yet again. That is an area that seems to be significant resistance over the last several months, and I think is going to be difficult to break above there significantly between now and next month, so I think we are probably looking at this as a situation where a pullback makes the most sense. At this point in time, I think the pullback will offer an of value that we may be able to pick up momentum and try to smash through that barrier. I do not expect to see it happen between now and the jobs number.

USD/JPY Video 30.12.21

The fairly significant shot to the upside and let us to this area was a bit overdone, so now I think as we start to focus on the holiday itself, is very likely we simply drift around and wait to get through that economic figure at the end of next week to really start moving. The 50 day EMA underneath is what I figured the floor the market is right now, so as long as we can stay above there I think nothing has changed other than we are simply killing time and waiting for liquidity to return. If we do break to the upside, then it becomes more of a “buy-and-hold” situation and I will be aiming for the ¥117.50 level, maybe even the ¥120 level at that point as both of those have been important in years past from of support and resistance aspect.

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