USDJPY → Consolidating Before the Next Rally.
Hello, dear friends! Ben here!
USD/JPY is consolidating after a strong bullish run, fluctuating around the 157.75 level.
The Japanese Yen continues to weaken amid wavering expectations regarding a potential rate hike by the Bank of Japan (BoJ). The Jibun Bank Japan Services PMI was revised lower to 50.9 from 51.4 in December. Meanwhile, the US Dollar remains near a two-year high, supported by the Fed's hawkish shift, further bolstering the USD/JPY pair.
Currently, the focus is on the consolidation phase, which has been forming over the past few weeks. We have clear boundaries, trends, and key levels to guide our trading decisions.
For me, the trigger lies at the 158 resistance level. A breakout and price consolidation above this level would confirm that the pair is ready to push higher. This rally is expected to reach the upper boundary of the ascending channel around 159, completing wave 5 within the channel.
Regards !
USD/JPY is consolidating after a strong bullish run, fluctuating around the 157.75 level.
The Japanese Yen continues to weaken amid wavering expectations regarding a potential rate hike by the Bank of Japan (BoJ). The Jibun Bank Japan Services PMI was revised lower to 50.9 from 51.4 in December. Meanwhile, the US Dollar remains near a two-year high, supported by the Fed's hawkish shift, further bolstering the USD/JPY pair.
Currently, the focus is on the consolidation phase, which has been forming over the past few weeks. We have clear boundaries, trends, and key levels to guide our trading decisions.
For me, the trigger lies at the 158 resistance level. A breakout and price consolidation above this level would confirm that the pair is ready to push higher. This rally is expected to reach the upper boundary of the ascending channel around 159, completing wave 5 within the channel.
Regards !
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.