The currency pair still trades in a bearish market zone.
Sellers remain dominant in the market at the moment.
USDJPY Weekly Price Analysis – July 14
At the moment the USDJPY remains on the negative side. The pair could see another bullish rally soon if the bulls should push harder and exchange hands with the bears at the $138.155 current support, the price may likely reverse in a bullish direction and may perhaps retest the previous high of $149.710 which might expose the Yen price to the $150.000 upper high level and beyond.
USDJPY Market
Key Levels:
Resistance levels: $140.000, $141.000, $142.000
Support levels: $130.000, $129.000, $128.000
USDJPY Long-term Trend: Bearish (Daily Chart)
The USDJPY market is having a bearish posture in its long-term outlook as can be seen from the chart above. This is due to the high inflow of the sell traders.
The sustained pressure from the bears at the $140.158 support level during yesterday’s session has contributed to its bearishness in its recent low.
Today, the bears however made a drop to a $138.155 support level below the moving averages; this is an indication of a bearish momentum in the context of the strength of the Yen. The bears are actually dictating the market conditions at present.
Hence, should the bulls put additional efforts into their buying motives; the price of USDJPY could turn positive to retest the previous high of $149.710 value.
Further, USDJPY will likely reverse and face the upsides as the market is now trading in the oversold region around the 3% range of the daily stochastic; the selling pressure will end soon.
This will compel the buy traders to resume an uptrend and may likely break up the $149.710 supply level to hit the $150.000 upper resistance in the days ahead in its higher time frame.
Hence, buyers need to wait for this action to take place before placing an order.
USDJPY Medium-term Trend: Bearish (4H Chart)
According to the chart below, the medium-term outlook for the USDJPY market is in a bearish trend zone. The bears have benefited from the recent market structure.
The bearish candle at the $139.607 low value during the previous action has made the Yen price to trade below the supply levels in its recent times.
The price action drops significantly to the $138.487 support level as the 4-hourly chart opens today. This is an indication of a downtrend and an opportunity for the sell traders at the moment.
Meanwhile, the USDJPY might finish the downward correction and start reversing as the market is already oversold. If the long-term investors achieve this, the recovery rally may reach the $150.000 upper high value in the coming days in its medium-term perspective.
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