USDJPY Daily – Buyers gaining momentum

The USDJPY currency pair, on the D1 time-frame, was in a downward spiral until June the 23rd when a lower bottom was reached at 106.071. Buyers found the price attractive and demand began exceeding supply.

After the lower bottom at 106.071, the price traversed upwards through both the 15 and 34 Simple Moving Averages and the Momentum Oscillator crossed the zero baselines into bullish terrain.

A higher top and possible critical resistance level formed on July the 1st at 108.162 and sellers are currently applying downward pressure to the market.

If the USDJPY currency pair breaks through the critical resistance level at 108.162, then three possible price targets may be calculated from there.

Applying the Fibonacci tool to the top of the resistance level at 108.162 and dragging it to the bottom of a possible support area near the 15 Simple Moving Average at 107.155, the following targets could be considered. The first target might be projected at 108.784 (161 %) and the second price target is likely at 109.791 (261.8%). The third and final target may well be expected at 111.421 (423.6%) if the uptrend continues making higher tops and bottoms.

If, however, the 107.155 support level is reached, the bullish scenario above is invalidated and will need to be re-assessed.

As long as buyers maintain a positive sentiment and demand overwhelms supply, the outlook for the USDJPY currency pair on the Daily time-frame will remain bullish.

For more information, please visit: FXTM

Disclaimer: This written/visual material is comprised of personal opinions and ideas. The content should not be construed as containing any type of investment advice and/or a solicitation for any transactions. It does not imply an obligation to purchase investment services, nor does it guarantee or predict future performance. FXTM, its affiliates, agents, directors, officers or employees do not guarantee the accuracy, validity, timeliness or completeness of any information or data made available and assume no liability for any loss arising from any investment based on the same.

Risk Warning: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 80% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

Nigel Frith

Share

Tweet

Safest Forex Brokers 2024

	Broker	Info	Best In	Customer Satisfaction Score
#1	Your capital is at risk Founded: 2014	Global Forex Broker	BEST SPREADS Visit broker	4.8
#2	Your capital is at risk Founded: 2006	Globally regulated broker	BEST CUSTOMER SUPPORT Visit broker	4.9
#3	* 82% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money Founded: 2008	Global CFD Provider	Best Trading App Visit broker	5
#4	Between 74-89 % of retail investor accounts lose money when trading CFDs Founded: 2010	Global Forex Broker	Low minimum deposit Visit broker	4.9
#5	76% of CFD traders lose money Founded: 2007	Global CFD & FX Broker	ALL-INCLUSIVE TRADING PLATFORM Visit broker	4.9
#6	Your capital is at risk Founded: 2009, 2015 and 2017	Global Forex Broker	Low minimum deposit Visit broker	5
#7	Your capital is at risk Founded: 2006	CFD and Cryptocurrency Broker	CFD and Cryptocurrency Visit broker	5

Forex Fraud Certified Brokers

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. Between 74-89% of retail investor accounts lose money when trading CFDs. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.