USD/JPY: the instrument shows flat trading dynamics
Current trend
The US dollar is developing a "bearish" signal paired with the Japanese yen in Asian trading, correcting after a noticeable increase the day before. At the moment, USD/JPY is holding near 115.20, waiting for new drivers to appear. Throughout the week, ultra-high volatility has been observed on world trading floors and investors have abandoned risky assets due to the difficult geopolitical situation. Against this background, the yen is strengthening its position.
During a speech in the national parliament, the head of the Bank of Japan, Haruhiko Kuroda, said that the regulator will continue its ultra-soft monetary policy, despite the fact that rising global inflation is forcing other major central banks to raise interest rates. He also stressed that officials will continue to carefully monitor the impact of the escalation of tensions in Ukraine on oil prices, since Japan is heavily dependent on energy imports.
The Japanese currency is slightly supported by the published macroeconomic statistics from Japan. The Consumer Price Index in the Tokyo region in February showed an increase of 1.0% after rising 0.5% in January. Analysts expected an increase of 0.6%. Excluding Fresh Food prices, inflation in Tokyo increased by 0.5%, accelerating from 0.2%. Markets projected a 0.4% growth.
Support and resistance
In the D1 chart, Bollinger Bands are reversing horizontally. The price range is not changing, reflecting ambiguous dynamics of trading in the short term. MACD, which formed a new buy signal the day before (the histogram is located above the signal line), is again inclined to reverse downwards, reacting to the "bearish" nature of Friday's trading. Stochastic keeps a moderate uptrend, gradually approaching the level of "80" and pointing to the risks of the US currency being overbought in the ultra-short term.
Existing long positions should be kept until technical indicators are clarified.
Resistance levels: 115.28, 115.68, 116.00, 116.34.
Support levels: 115.00, 114.50, 114.00, 113.50.
The US dollar is developing a "bearish" signal paired with the Japanese yen in Asian trading, correcting after a noticeable increase the day before. At the moment, USD/JPY is holding near 115.20, waiting for new drivers to appear. Throughout the week, ultra-high volatility has been observed on world trading floors and investors have abandoned risky assets due to the difficult geopolitical situation. Against this background, the yen is strengthening its position.
During a speech in the national parliament, the head of the Bank of Japan, Haruhiko Kuroda, said that the regulator will continue its ultra-soft monetary policy, despite the fact that rising global inflation is forcing other major central banks to raise interest rates. He also stressed that officials will continue to carefully monitor the impact of the escalation of tensions in Ukraine on oil prices, since Japan is heavily dependent on energy imports.
The Japanese currency is slightly supported by the published macroeconomic statistics from Japan. The Consumer Price Index in the Tokyo region in February showed an increase of 1.0% after rising 0.5% in January. Analysts expected an increase of 0.6%. Excluding Fresh Food prices, inflation in Tokyo increased by 0.5%, accelerating from 0.2%. Markets projected a 0.4% growth.
Support and resistance
In the D1 chart, Bollinger Bands are reversing horizontally. The price range is not changing, reflecting ambiguous dynamics of trading in the short term. MACD, which formed a new buy signal the day before (the histogram is located above the signal line), is again inclined to reverse downwards, reacting to the "bearish" nature of Friday's trading. Stochastic keeps a moderate uptrend, gradually approaching the level of "80" and pointing to the risks of the US currency being overbought in the ultra-short term.
Existing long positions should be kept until technical indicators are clarified.
Resistance levels: 115.28, 115.68, 116.00, 116.34.
Support levels: 115.00, 114.50, 114.00, 113.50.
Aviso legal
As informações e publicações não devem ser e não constituem conselhos ou recomendações financeiras, de investimento, de negociação ou de qualquer outro tipo, fornecidas ou endossadas pela TradingView. Leia mais em Termos de uso.
Aviso legal
As informações e publicações não devem ser e não constituem conselhos ou recomendações financeiras, de investimento, de negociação ou de qualquer outro tipo, fornecidas ou endossadas pela TradingView. Leia mais em Termos de uso.