FX.co ★ Egypt_Trade_Floor | USD/JPY

We are currently focusing on evaluating the USD/JPY pair's price movement. The USD/JPY price may decline from its current levels, but the upward adjustment hasn't been significant enough. Despite the sharp decline in price, there hasn't been much of a recovery. This is my opinion, but the market often follows its own path, which may or might not coincide with mine (this time, it could). We can definitely anticipate a downward trend. Nonetheless, it would be advantageous to surpass 156.931 and provide the impression that the upward trend may continue for the next week (or even two or three). The market as a whole may benefit from a brief rise in the value of the US dollar. According to one trading method that uses the Fibonacci grid, it makes reasonable to expect a price gain to 163.571 (9%) before dropping to 139.381 (50%). The pair was under a lot of selling pressure on Friday. Depending on whether the downward trend continues or whether anything else could occur, I will predict Monday's movement. Let's examine today's technical analysis and discuss the recommendations to do this. Moving averages and technical indicators both strongly suggest selling, and selling is often advised. This technical analysis indicates a bearish direction. Now let's talk about any significant announcements for the two on Monday. I don't notice any noteworthy news from Japan since Monday is a holiday. There will be significant news from the United States, but the outlook is currently neutral. For these reasons, we should generally expect the pair to go sideways. Sales might drive the price down to the support level of 152.381, while buying could push it up to the resistance level of 154.831.

The price movement analysis of the USD/JPY currency pair will be the main topic of our conversation. It's great to see such a dramatic drop in the charts, especially because we weren't part of the negative trend that was spoken about just a week ago. It seems to be a squandered opportunity. However, USDJPY seemed to be appealing for buying opportunities when I went over my thoughts on the D1 time period yesterday. Specifically, I had identified the 156.931 area as a potential target for price extension. I hadn't yet expected reaching this objective on Friday and clearing it all, however, since I wasn't active in that session. It's interesting to note that by the end of the week, the currency pair shifted by almost 800 points. I've concluded that there could be better options than making an immediate purchase after examining the weekly chart. After such a candle, it is unlikely that there would be a significant upward reversal, and our trades won't be very beneficial to buyers. For the USD/JPY pair, the situation is complex. Today, I made a long-term Fibonacci grid covering the pair's advance from 100 yen to the dollar. I was happy that we finished the week at 156.971, little below the 23.6% retracement level of 158.431. The 38.2% threshold is attained at 150.011. Since I want to trade between the 23.6% and 38.2% levels—an almost axiomatic zone in Fibonacci analysis—I want to trade both up and down within the 150.011-158.431 range, recovering from these edges. Given the potential for a comeback to 158.461 before the decline begins, selling USDJPY seems to be the most attractive choice among major pairs for Monday. It's also crucial to remember that the USDJPY cruising price is about 130.471. Because of this, the price remains quite high until it approaches this level.