USD/JPY Weekly Price Forecast – US Dollar Above ¥115

The US dollar rallied significantly during the course of the week to break above the ¥115 level. This is an area that has been important multiple times over the years, so it is very interesting to see that we finally managed to get above there. We have been relentless in our bullish pressure in this pair for a while now, and the fact that we finally break back above the ¥115 level does suggest that we are about to blow through it sooner or later. This will be especially interesting this week due to the fact that the nonfarm payroll number comes out, and this pair is extraordinarily sensitive to that economic announcement.

USD/JPY Video 03.01.22

The overall attitude of this market has been bullish for quite some time, and the last couple of weeks have certainly solidified that. While we did pullback from just above recently, the reality is that we have been relentless enough to turn around and pushback against that selling already. If we get a decent jobs number, that tends to send this market straight up in the air so I think that this week might start out somewhat slow, but by the time Friday rolls around we will more than likely have quite a bit more clarity and of where this pair is going to go, and thereby whether or not we can sustain the momentum that has been such a feature. Ultimately, this could be one of the more interesting pairs early next year, so I will definitely be paying attention to dips as potential buying opportunities at this juncture.

For a look at all of today’s economic events, check out our economic calendar.