The USDJPY pair at a rate of 140.681 has fallen for the third consecutive day, as it is affected by minor depreciation in the US dollar.
…
This is a premium post.
[s2If !current_user_can(access_s2member_level4)]Please register for FREE REGISTER to read full post below containing analysis. In case of any error or you think you are not able to read the full post below, please email us at support#nehcap.com [lwa][/s2If] [s2If current_user_can(access_s2member_level1)]
- USD/JPY turns lower for the third straight day and is pressured by modest USD weakness.
The pair currently trades last at 140.681.
The previous day high was 141.75 while the previous day low was 140.85. The daily 38.2% Fib levels comes at 141.2, expected to provide resistance. Similarly, the daily 61.8% fib level is at 141.41, expected to provide resistance.
The USD/JPY pair attracts fresh selling following an intraday uptick to the 141.15-141.20 region and turns lower for the third successive day on Wednesday. Spot prices remain on the defensive through the early European session and currently trade around the 140.70 area, just a few pips above the weekly low touched in the last hour.
The US Dollar (USD) extends the overnight modest pullback from a two-week low and drifts lower for the second straight day, which, in turn, is seen as a key factor exerting some pressure on the USD/JPY pair. The Japanese Yen (JPY), on the other hand, gets a minor lift after the Cabinet Office, in the monthly report, raised its view on business sentiment in July for the first time in seven months. Adding to this, Japan retained its assessment of the economy as recovering at a moderate pace.
The International Monetary Fund (IMF), meanwhile, warned of higher inflation from Japan and urged the Bank of Japan (BoJ) to exit its easy-money policy. The BoJ Governor Kazuo Ueda, however, reiterated on Wednesday that the central bank will stick to its accommodative monetary stance and added that the long-term yield rate remains stable under the yield curve control (YCC) policy. This, along with the risk-on mood, should cap the safe-haven JPY and lend support to the USD/JPY pair.
Traders might also refrain from placing aggressive bets and prefer to wait for the outcome of the crucial FOMC policy meeting, scheduled to be announced later this Wednesday. The Federal Reserve (Fed) is expected to hike interest rates by 25 bps, though investors remain sceptic if the US central bank will pivot to a more dovish stance in the wake of an extremely resilient economy. Hence, the focus will remain on the accompanying policy statement and Fed Chair Jerome Powell’s presser.
Investors will look for cues about the future rate-hike path, which, in turn, will play a key role in influencing the USD price dynamics and provide some meaningful impetus to the USD/JPY pair. The market attention will then shift to the two-day BoJ monetary policy meeting starting on Thursday. Nevertheless, the aforementioned fundamental backdrop warrants some caution before confirming that the recent goodish rebound from a nearly two-month low has run out of steam.
Technical Levels: Supports and Resistances
USDJPY currently trading at 140.76 at the time of writing. Pair opened at 140.91 and is trading with a change of -0.11 % .
| Overview | Overview.1 | |
|---|---|---|
| 0 | Today last price | 140.76 |
| 1 | Today Daily Change | -0.15 |
| 2 | Today Daily Change % | -0.11 |
| 3 | Today daily open | 140.91 |
The pair is trading below its 20 Daily moving average @ 141.6, below its 50 Daily moving average @ 140.83 , above its 100 Daily moving average @ 137.29 and above its 200 Daily moving average @ 136.83
| Trends | Trends.1 | |
|---|---|---|
| 0 | Daily SMA20 | 141.60 |
| 1 | Daily SMA50 | 140.83 |
| 2 | Daily SMA100 | 137.29 |
| 3 | Daily SMA200 | 136.83 |
The previous day high was 141.75 while the previous day low was 140.85. The daily 38.2% Fib levels comes at 141.2, expected to provide resistance. Similarly, the daily 61.8% fib level is at 141.41, expected to provide resistance.
Note the levels of interest below:
- Pivot support is noted at 140.59, 140.28, 139.7
- Pivot resistance is noted at 141.48, 142.06, 142.38
| Levels | Levels.1 |
|---|---|
| Previous Daily High | 141.75 |
| Previous Daily Low | 140.85 |
| Previous Weekly High | 141.96 |
| Previous Weekly Low | 137.68 |
| Previous Monthly High | 145.07 |
| Previous Monthly Low | 138.43 |
| Daily Fibonacci 38.2% | 141.20 |
| Daily Fibonacci 61.8% | 141.41 |
| Daily Pivot Point S1 | 140.59 |
| Daily Pivot Point S2 | 140.28 |
| Daily Pivot Point S3 | 139.70 |
| Daily Pivot Point R1 | 141.48 |
| Daily Pivot Point R2 | 142.06 |
| Daily Pivot Point R3 | 142.38 |
[/s2If]
Download Nehcap EAWe have two EAs that are operational on our LIVE accounts.
- EA-FIX: Check out the details here. Download EA-FIX . EA-FIX is a non-grid HFT scalper.
- EA-GROWTH: High quality low dd EA using trend grids. Download EA_GROWTHJoin Our Telegram Group
