USDJPY Ngl although I been holding buy from 144.5 and getting fcked by it, but this bearish trend has been perfectly respected with lower highs and lower lows😂
As we analyze the USDJPY market, it is crucial to stay informed about upcoming economic events that may impact the USD. Key news to watch for in the coming weeks includes:
U.S. Consumer Price Index (CPI) Report: Scheduled for release next week, this report will provide insights into inflation trends, which can significantly influence the USD's strength against the JPY. A higher-than-expected CPI could bolster the USD, potentially pushing USDJPY higher.
Federal Reserve Interest Rate Decision: The upcoming Federal Reserve meeting is critical, as any changes in interest rates or forward guidance could have a profound impact on the USDJPY pair. A hawkish stance could strengthen the USD, while a dovish tone might weaken it.
U.S. Employment Reports: As employment data is released, it will provide further context on the health of the U.S. economy. Strong employment numbers typically support a stronger USD, which could influence USDJPY positively.
In this analysis, we will delve into the current market conditions of the USDJPY currency pair, focusing on the daily and 4-hour timeframes. As of the latest market data, the USDJPY is trading at 143.816 USD. We will utilize various technical indicators, including Fibonacci Retracement Levels, Exponential Moving Averages (EMA), RSI divergence, support and resistance levels, order blocks, and MACD, to provide a comprehensive overview of the market.
Market Analysis Overview 🔍
Current Market Context
The USDJPY pair has been exhibiting a dynamic price action, influenced by both technical indicators and macroeconomic factors. The recent swing high is at 146.290, while the swing low stands at 142.379. This range provides a critical framework for our analysis as we identify potential areas of support and resistance, along with other key technical levels.
Support & Resistance Levels
Daily Time Frame:
Support Levels:
Support 1: 142.379 (Recent Swing Low) Support 2: 143.000 (Psychological Level) Support 3: 142.800 (Previous Daily Low)
These levels can serve as potential entry and exit points for traders, particularly when combined with other indicators.
Exponential Moving Averages (EMA)
Daily Time Frame:
EMA 50: 144.150 EMA 100: 144.500 EMA 200: 143.750 EMA 400: 143.200
4-Hour Time Frame:
EMA 50: 143.900 EMA 100: 144.200 EMA 200: 144.500 EMA 400: 143.600
The EMAs provide insight into the trend direction. In the daily timeframe, the price is currently above the 200 EMA, suggesting a bullish trend, while the 50 EMA is below the current price, indicating potential support.
RSI Divergence
The Relative Strength Index (RSI) is currently showing signs of divergence on the daily timeframe. As the price approached the recent swing high of 146.290, the RSI made lower highs, indicating a potential weakening of the bullish momentum. This divergence could signal a reversal or pullback, making it essential for traders to monitor price action closely.
Order Blocks
Order blocks are significant areas where institutional buying or selling has occurred. On the daily timeframe, a notable order block is present around 143.200, which coincides with the 61.8% Fibonacci retracement level. This area may serve as a strong support zone, where buyers could step in to push prices higher.
MACD Analysis
The Moving Average Convergence Divergence (MACD) indicator is currently showing a bullish crossover on the daily timeframe, with the MACD line above the signal line. This suggests that the upward momentum may continue, but traders should remain cautious of potential pullbacks, especially given the RSI divergence.