The USDJPY pair has been, since the 14th of December 2016, oscillating within a bullish formation from 114.77 to 118.31. Will the buyers resume leading the price?
Today’s major pivot point area is the 116.93 level where the sellers will likely take their chances to shifting the price to their favour.
The latest stabilization of the pair close to the 116.93 level is a good indication that the sellers may exert greater pressures to force the price to the downside.
The Stochastic oscillator has also confirmed that the price could aggressively drop at the 30 zone.
In the scenario where the pair decelerates, the price could fall to 114.77.
Alternatively, in the event where the sellers are not able to hold the price close to the 118.31 area, and the buyers place greater pressures, the pair could rise back to 120.42.
- The Markit PMI Composite (Dec) and the Markit Services PMI (Dec) announcements will likely have a medium impact on the U.S. dollar
- There are no any releases that could have an impact on the Japanese yen
· Probable trend (Bearish): 116.93
· Bearish take profit target: 114.77
· Stop loss target: 118.31
· Alternative trend (Bullish): 118.31
· Bullish take profit target: 120.42