The currency pair still trades in a bullish market zone.
Sellers may likely resume dominating the USDJPY market soon.
USDJPY Weekly Price Analysis – October 27
USDJPY price will most likely decline to the lower support level soon and the price could still go down further if the bears could add to their selling forces and the price is able to break down the $137.92 supply level. However, a daily candlestick below the mentioned support level would invalidate any bullish theory and may further extend the Yen price to a $134.00 lower support value. Thus, a clear sell signal for the short investors
USDJPY Market
Key Levels:
Resistance levels: $145.00, $146.00, $147.00
Support levels: $140.00, $139.00, $138.00
USDJPY Long-term Trend: Bullish
The USDJPY pair registered a positive market in its long-term perspective. The order flows from the bulls affirm that the coin is actively traded by the long investors at the moment. Meanwhile, the pair may decline to the lower support area soon as the market is already overbought.
The bulls’ pressure on the pair at the $149.92 resistance value has sustained the price above the moving average in its recent high.
The USDJPY price on the daily chart today is currently trading at the $149.92 supply level above the EMA-50. This is an indication of an uptrend. Further, the bears are warming up to take over the trend as the buying pressure will soon be exhausted. Hence, a strong break down below the $137.92 support point would strengthen the bearish pressure.
In addition to this, the daily stochastic indicates that the Yen price may decline to the lower support level soon by pointing down in the overbought region.
This means that the short traders may likely resume the bearish correction pattern to change the direction of the trend which might further lead the USDJPY price to reach the $134.00 lower support mark in the days ahead in its long-term outlook.
USDJPY Medium-term Trend: Bullish (4H Chart)
The currency pair also trades in a bullish market in its medium-term outlook. The price bars are seen above the moving averages. Hence the Yen price may decline soon as the market is overbought already.
The intervention of the bulls to the $149.91 supply value in the previous action has made the price of USDJPY stay above the supply trend line in its recent high.
The long holders made a ride to the $149.92 supply mark above the EMA-50 as the 4-hour session begins today. This suggests an uptrend in the context of the strength of the market. Thus, the market is set to decline to the support level soon as the market is overbought.
Thus, if the bears should add more aggression to their activities in the market, the $147.27 support level might be reached soon.
In addition, the market value of USDJPY is pointing downwards around level 87% of the daily stochastic. This will compel the sell traders to cluster round the market and drop the price further. The price of USDJPY may likely decline to a $134.00 lower support value in the coming days in its medium-term outlook as we watch sellers taking over soon.
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