Яндекс.Метрика USD/JPY: Tug of war between buyers and sellers for near-term control – Technologies of the future for life!
Home / Forex Treiding / USD/JPY: Tug of war between buyers and sellers for near-term control

USD/JPY: Tug of war between buyers and sellers for near-term control


  • share

USD/JPY is caught in between the two key hourly moving averages


ForexLive

That means that the near-term bias is more neutral as buyers and sellers are doing battle between the 100-hour MA (red line) @ 111.53 and the 200-hour MA (blue line) @ 111.70. Those will be key levels to watch out for in the session ahead as traders look to settle on a market direction to focus on.
The pair came off the lows near 111.00 overnight after Powell’s transitory remarks on inflationary pressures but failed at an attempt to hold above the 100-hour MA. Buyers found some conviction for a move higher earlier but so far, it isn’t too convincing just yet.
Market sentiment remains a bit lackluster to start the new day with the dollar holding slightly weaker overall but nothing too notable. Powell’s remarks were less dovish than expected but they’re not something dollar bulls can capitalise on and build further momentum. In essence, the Fed’s ‘patient’ message is still at play so there is very little to be bullish following their stance communicated yesterday.
As such, markets will be searching on the next key focal point and I reckon we may have to wait on further US-China trade talks headlines for that. In the mean time, keep your eyes on the charts and work with that to build your trade conviction.
For USD/JPY, the other key level to watch out for is the 200-day moving average @ 111.51. Buyers will be looking to hold a close above that to build up some bullish momentum alongside breaks of the key hourly moving averages highlighted above.

About SkyNET

Leave a Reply

Your email address will not be published. Required fields are marked *