USD/JPY Weekly Price Forecast – US Dollar Continues to Grind Higher

Christopher Lewis
Published: Feb 23, 2024, 15:07 GMT+00:00

The US dollar continues to grind higher against the Japanese yen during the course of the trading week, as we are still very much in an uptrend.

In this article:

US Dollar vs Japanese Yen Weekly Technical Analysis

This has been a fairly quiet week for the US dollar against the Japanese yen, but it’s worth noting that it has been positive. It’s more or less a market that is threatening a major breakout, and at this point in time, I think the 152 yen level is the prize. If we can break above there, then the market can go much higher. I do think that happens given enough time, but we may have some work to do before we make that happen.

Short-term pull banks could be bought into, especially near the 149.80 yen level, and then again at the 147.33 yen level. In fact, even if we do fall rather significantly from here, it’s really not until we get below the 145 yen level, 500 pips below where we are right now, that I begin to question the trend, and at that point, we would be challenging the 50-week EMA. With this being said, the market does look like it is forming a massive ascending triangle.

So, if we break out above the 152 yen level, this thing could really start to take off. And in fact, at that point, it’s hard to tell what kind of situation we will be in. Keep in mind that the interest rate differential continues to favor the US dollar, so that of course will drive the thing higher anyway, as you get paid to simply own this pair.

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

About the Author

Being FXEmpire’s analyst since the early days of the website, Chris has over 20 years of experience across various markets and assets – currencies, indices, and commodities. He is a proprietary trader as well trading institutional accounts.

Did you find this article useful?