USD/JPY Returns To Losses; Fragile Below 50-SMA

 

USD/JPY closed Monday’s positive gap by rapidly falling to 131.00 on Tuesday after hitting a wall near the 50-day simple moving average (SMA) at 133.60. Another leg down would ruin the bull’s efforts for a trend reversal.

However, the pair could still maintain the soft ascent from 127.21 if it pivots within the 129.70-129.20 region represented by the 20-day SMA and the surface of the shorter-term bearish channel respectively.

If not, the sell-off may continue towards the previous low of 127.21, while lower, some consolidation may occur near 126.00 before the way clears towards the channel’s lower boundary currently seen within the 124.00-123.50 area.

The technical indicators, however, have yet to confirm a bearish bias. Despite the latest downturn in the price, the RSI managed to hold above its 50 neutral mark, whilst the MACD has barely been affected, gradually extending its recovery within the negative zone.

Nevertheless, the 50-day SMA and the 133.00 zone, where the 23.6% Fibonacci retracement of the 151.93-127.21 down leg is placed, will pose a threat to upside movements in the short term. Buyers would also like to see a higher high above the 133.70-134.45 area before boosting the price up to the 200-day SMA and the 38.2% Fibonacci level of 136.65.

In brief, the sideways move in USD/JPY may continue in the coming sessions as buying interest looks conditional. The pair will need to stay above its 20-day SMA to sustain hopes for a bullish trend reversal, though only a rally above 134.45 would confirm that case.

This Post Has 10 Comments

  1. Quinn

    I’ve been surfing online greater than 3 hours nowadays, yet I never found any attention-grabbing article like yours. It is pretty price sufficient for me. Personally, if all web owners and bloggers made excellent content as you probably did, the web can be much more useful than ever before!

  2. Timothy

    I will immediately take hold of your rss as I can not find your email subscription hyperlink or newsletter service. Do you’ve any? Please permit me realize so that I may subscribe. Thanks!

  3. escape room list

    Hey! Do you know if they make any plugins to assist with Search Engine Optimization? I’m trying to get my blog to rank for
    some targeted keywords but I’m not seeing very
    good success. If you know of any please share.
    Appreciate it! I saw similar art here: All escape rooms

  4. Backlinks List

    Hey! Do you know if they make any plugins to help with
    Search Engine Optimization? I’m trying to get
    my site to rank for some targeted keywords but I’m not seeing very good results.
    If you know of any please share. Cheers! I saw similar blog here: List of Backlinks

  5. najlepszy sklep

    Good day! Do you know if they make any plugins to assist with SEO?
    I’m trying to get my blog to rank for some targeted keywords but I’m not seeing very good gains.
    If you know of any please share. Thank you! You can read
    similar article here: Ecommerce

  6. sklep

    Wow, marvelous weblog structure! How long have you ever been running a blog for?
    you made blogging look easy. The overall look of your website is fantastic, let alone the content material!
    You can see similar here najlepszy sklep

  7. gate.io é confiavel

    Do you mind if I quote a couple of your articles as long asI provide credit and sources back to your website?My blog site is in the very same niche as yours and my users would certainly benefit from some of the information you present here.Please let me know if this okay with you. Thanks!

Leave a Reply

Important Link

Fund Your Deriv Account
Withdraw Funds to Your Local Currency
VIP Trading Signals
Learn To Trade

Contact Us

Follow Us

Disclaimer

Forex, Crypto, Options, and Binary Options have both large potential rewards and large potential risks. Therefore, before investing or trading any of the assets, ensure you are aware of and willing to accept the accompanying risks. Do not trade money you cannot afford to lose.

All Rights Reserved. None of the content of this website can be published elsewhere by any means without the prior consent of the owner(s). Please, check our terms & conditions and privacy policy before continuing to use this website.

This website and its owner(s) are not in any way liable for any incurred loss, whether caused by the information provided on this website or otherwise. The use of this website, including the content and information provided, is the user’s sole liability.