September 28, 2022
  • September 28, 2022

USDJPY is trading below the 50% midpoint of the day’s trading range

By on March 28, 2022 0
USDJPY drops below 50% and 200-bar MA on 5-minute chart

the USDJPY

USD/JPY

USD/JPY is the currency pair comprising the United States dollar (symbol $, code USD) and the Japanese yen from Japan (symbol ¥, code JPY). The pair’s rate indicates how many Japanese yen are needed to buy one US dollar. For example, when USD/JPY is trading at 100.00, that means 1 US dollar equals 100 Japanese yen. The US Dollar (USD) is the most traded currency in the world, while the Japanese Yen is the third most traded currency in the world, resulting in an extremely liquid pair and very tight spreads, often staying within range from 0 pip to 2 pip in most markets. currency brokers. Although the USD/JPY range is not traditionally particularly high, the lack of significant price action often associated with other JPY pairs makes it easier to trade. This is especially true for short-term traders, although without offering a good pip potential. Even though USD/JPY is the second most traded pair in the world, it is not as popular as one might think when it comes to retail traders. Trading USD/JPY The JPY is highly regarded as a safe-haven currency, with investors often increasing their exposure after periods of uncertainty or market-induced fallout. The United States and Japan being highly developed economies, several key factors affect the value. of either currency. This includes a range of economic indicators such as gross domestic product (GDP) growth, inflation, interest rates and unemployment data. The monetary policy of the US Federal Reserve and the Bank of Japan is also a determining factor in the value of each currency.

USD/JPY is the currency pair comprising the United States dollar (symbol $, code USD) and the Japanese yen from Japan (symbol ¥, code JPY). The pair’s rate indicates how many Japanese yen are needed to buy one US dollar. For example, when USD/JPY is trading at 100.00, that means 1 US dollar equals 100 Japanese yen. The US Dollar (USD) is the most traded currency in the world, while the Japanese Yen is the third most traded currency in the world, resulting in an extremely liquid pair and very tight spreads, often staying within range from 0 pip to 2 pip in most markets. currency brokers. Although the USD/JPY range is not traditionally particularly high, the lack of significant price action often associated with other JPY pairs makes it easier to trade. This is especially true for short-term traders, although without offering a good pip potential. Even though USD/JPY is the second most traded pair in the world, it is not as popular as one might think when it comes to retail traders. Trading USD/JPY The JPY is highly regarded as a safe-haven currency, with investors often increasing their exposure after periods of uncertainty or market-induced fallout. The United States and Japan being highly developed economies, several key factors affect the value. of either currency. This includes a range of economic indicators such as gross domestic product (GDP) growth, inflation, interest rates and unemployment data. The monetary policy of the US Federal Reserve and the Bank of Japan is also a determining factor in the value of each currency.
Read this term has now retraced over 50% of the rise from the day’s low at 123.544. The price is also below the intraday 100 and 200 bar MAs at 123.91 and 123.406. The price broke below the 100 hour MA and corrected towards that MA, only to find willing sellers. It was a “tell” to intraday traders that the uptrend might be over.

The pair traded above and below the 200-bar MA, but dipped further lower.

As the day progresses, watch the 200 bar MA at 123.412 and the 50% midpoint at 123.544 for resistance now if you are inclined to trade the short side.

Giving the sellers some extra hope comes from the weekly chart below.

Today’s upside move saw price break above November/December 2015 highs above 123.706. The high fell ahead of the 2015 highs at 125.27 and 125.85. The high reached 125.093. Price is now below November/December highs at 123.706 with price at 123.23 as I type.

This too was not great for buyers. 1. Failure on the bullish target, and 2. Falling below the next high at 123.706.

USDJPY

USDJPY on the weekly chart

Now, is everything bad/bearish?

No. The price has been trending up and has been rising for 14 days out of 16. It’s hard to get in front of a roaring train.

The price is even higher on the day. Price is testing the 50% upside from Friday’s corrective low (not today’s low) at 123.13 (low hit 123.135). See the timetable below.

USDJPY

USDJPY on the hourly chart

A correction below the 50% midpoint of the upside move today is not the end of the world but it is a start, especially after the upside move. There are offside buyers.

So stay below 123.41. Stay below 123.544, and in the near term, sellers can hold out and hope for further bearish momentum.

Move above those levels, and the waters are muddy again with 123.706, another bullish target that should hold resistance if sellers are to take a chance.

Without it, and sellers do not earn.