Japanese Yen – Forex Technical Analysis August 18, 2019

The Japanese yen has recently been in strong demand as a “safe haven” for investors on the topic of the risk off sentiments associated with the trade war between the US and China.


On the daily chart of the USDJPY currency pair, we see a clear downward long-term channel. Continue reading

The Japanese yen (USDJPY) is testing key resistance

Currency pair USDJPY once again came close to the important resistance.

Technical Analysis USDJPY-110718

This is the long-term mirror level at 111.500. Continue reading

Japanese yen (USDJPY) – consolidation in the triangle and the inside bar

“Risk Off” sentiments on forex ends? The USDJPY currency pair is forming the second consecutive inside bar.Inside bar on USDJPY-310518

Pay attention, on the daily chart USDJPY three consecutive candles can not close below the mirror support (green rectangle). Continue reading

The growth of the Japanese yen on forex – this is all about US bonds

A sharp fall in the pair USDJPY (the growth of the Japanese yen) is associated with a decrease in risk appetite in the foreign exchange market.

The growth of the Japanese yen on Forex USDJPY H4

Market risk off sentiment led to demand for protective assets, including US government bonds and the Japanese yen.

The pair USDJPY broke the lower border of the rising channel and fell below the moving average for 100 hours and 100 candles for H4. Today’s fall of the pair USDJPY the strongest daily decline in more than a year. This may be the first signal to a possible reversal of the yen’s decline trend.

The yield of 10-year US government bonds fell sharply and is testing key support near the round value of 3.00%.

The fall in the yield of US government bonds

The Japanese yen (blue on the chart above) followed the yield of the bonds. We already noted in the article “Analysis of the Japanese yen (USDJPY) – a return to the historical correlation on the forex” that after the normalization of the situation on the US stock market, the Japanese yen returned to a historical correlation with the bond yield.

Such an abrupt departure from risks can be connected with profit taking by investors before today’s publication of the minutes of the last FOMC meeting. In the event that the protocols are sufficiently “hawkish”, it is able to expand the yield of bonds upward and the Japanese yen will also continue to fall on the forex market.

But, it often happens that such a sharp withdrawal of investors into defensive assets is a signal for upcoming events that carry high risks – volatility in the stock market, military conflicts, political risks, etc. The yield of government bonds is often the leading indicator of uncertainty in the world. What can be – I do not yet understand. Italy, North Korea, Iran, Muller’s investigation in the US ???? Do you remember all this talk about bonds yield curve flattering in the US and the impending financial crisis? Who knows.

We must closely monitor the news background and be prepared for high volatility in the foreign exchange market. If the avoidance of risks in the currency market continues, this can lead to gold growth. At the moment, it balances on the verge of the reversal zone after several days of consolidation near the lower boundary of the long-term rising channel.

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Analysis of the Japanese yen (USDJPY) – a return to the historical correlation on Forex

Against the backdrop of growth in the US government bonds yield and the strengthening of the US dollar yesterday, the USDJPY pair broke through the key resistance at the round level of 110,000.

Technical Analysis USDJPY-160518

The pair USDJPY is in a steady growing trend and is trading in an upwardly growing channel. Continue reading

Bank of Japan Monetary Policy Decision – April 27, 2018

The Bank of Japan will apply a negative interest rate of minus 0.1 percent to the Policy-Rate.

Bank of Japan

Statement on Monetary Policy: Continue reading

Forex forecast for the next week 12-16 March 2018 (USDX, EURUSD, USDJPY)

We will begin the analysis with the US dollar (USDX). The short-term situation at the end of Friday, I analyzed in the article Hour of truth for the dollar, let’s look at the long-term picture.

Forex forecast USDX Weekly-110318-1
Let me remind you that the dollar in the US in its decline for more than a year could not gain a foothold below the principal long-term mirror area. Continue reading

Bank of Japan Statement on Monetary Policy – no change March 9, 2018

The short-term policy interest rate: The Bank will apply a negative interest rate of minus 0.1 percent to the Policy-Rate.

Bank of Japan

Statement on Monetary Policy Continue reading

Technical analysis of the USDJPY currency pair – what awaits us in the spring

Last month of winter USDJPY currency pair finished exactly in the middle of the range between two long-term levels.

Analysis USDJPY Daily-010318This indicates the current uncertainty of traders in the Japanese yen. Continue reading

The main currency pairs approached the key resistance – the analysis of USDX, EURUSD, USDJPY, AUDUSD

Depending on how the traders behave near these key zones, the picture will be clear for the next few days, especially for the US dollar.

Analysis USDX H4-220218

The US dollar index tested the lower limit of the resistance zone (red rectangle) from which the last move down occurred. Continue reading

Will the changes in the monetary policy of the Bank of Japan after the appointment of Haruhiko Kuroda for a new term

Prime Minister Shinzo Abe nominated Haruhiko Kuroda to lead the Bank of Japan for another five-year term, with the Cabinet forwarding the nomination to parliament on Friday.

Abe and Kuroda

In addition to Kuroda, Tokyo also chose Waseda University professor Masazumi Wakatabe and BOJ Executive Director Masayoshi Amamiya to take over as deputy governors in March. The approval procedure requires approval by both chambers of the Japanese Parliament. Continue reading

Yen Bulls do not give up

Despite the impressive recovery of the US dollar today, the Japanese yen demonstrates its strength.

Analysis USDJPY M5-160218
The dollar rebound began at the end of the Asian session after a false breakout with a pair of EURUSD highs at 25.400. Continue reading

USDJPY and the S&P500 index – paired dances continue

This is a continuation of the analysis of the situation with the Japanese price. The first article is here – Technical analysis of USDJPY and S&P500.

Analysis USDJPY-S&P500-2
Despite the holiday in Japan, the situation on the currency market today continued like Friday. The Japanese yen is trading in a strong correlation with the S&P500 index. Continue reading

Technical analysis of USDJPY and S&P 500 – chained by one chain!!!

“To what progress has reached …..”. Since the opening of the American session on Friday, we could observe a very interesting picture. The Japanese yen (pair USDJPY) traded in a very tight correlation with the S&P 500 index.

Trading robots-transformers

Explain it is something other than setting up trading algorithms or robots is impossible. Continue reading

Monetary policy of the Bank of Japan and USDJPY on Forex

This morning in the Asian session, the yield of 10-year bonds of Japan came close to the key level of 0.1%. This is an excellent opportunity to understand the situation, to analyze the possible variants of the development of events for the pair USDJPY and to recall the goals and objectives of the monetary policy of the Bank of Japan.


On the graph above, you see the yield of 10-year bonds of Japan (blue line), the yield of 10-year US bonds (green line) and the rate of USDJPY (red line). Continue reading

Bank of Japan Statement- interest rate unchanged (-0.1%)

Statement on Monetary Policy

1. At the Monetary Policy Meeting held today, the Policy Board of the Bank of Japan decided upon the following.


(1) Yield curve control
The Bank decided, by an 8-1 majority vote, to set the following guideline for market operations for the intenneeting period.
The short-term policy interest rate:
The Bank will apply a negative interest rate of minus 0.1 percent to the Policy-Rate Balances in current accounts held by financial institutions at the Bank. Continue reading

Double technical triangle on the USDJPY pair

How far can you go in the technical analysis of the forex market? Today, after the decline in the Asian session, the USDJPY currency pair was in consolidation. Under the closure of the US market on Friday night, we can observe an unusual figure of technical analysis.

Analysis USDJPYM15-190118
Does the number of nested triangles affect the analysis of the technical figure? Continue reading

Forex analysis of the Japanese yen

On the hourly chart of the USDJPY currency pair, a reversal pattern is formed. Yesterday, with a strong momentum, the yen rose above the 100-hour simple average moving average. Today, the pair is trading below the opening, which is due to the overall decline in the US dollar.

Technical analisys USDJPY H1

If we look at the hour chart of the pair, we see that yesterday the pair overcame the nearest peak at the round level of 111,000, which in accordance with the rules of work on the trend in the forex market indicates a possible reversal. Continue reading

USDJPY: False breakdowns and what’s next?

On the daily chart, in its upward movement, the pair USDJPY reached a strong resistance at 114.380 (the orange line in the chart) and began to consolidate.

Analysis USDJPY D1 10.11.17

On H4, we see the consolidation zone (blue square), highlighted by the first High and Low. The pair made three attempts to get out of the formed range. Continue reading