USDJPY Rally Higher As The Pair Eyes New Resistance Above 110.739
Recently held the major financial reports and the currency market greed and fear sentiments were considered to be at the neutral zone. Where the bulls are on the outlook for positive financial reports likewise the bears are not too far to receive negative economic updates. With much focus on the US Dollar interest rate hike expectation. On the flip side, the Bank Of Japan(BOJ) statement regarding altering rates leaves the majority of market participants in unending chaos of indecisive trading decisions.
While the global financial market heads towards a new trading week, yet the currency markets prepare for the freshest price movement. Fast forward to the start of the prior trading session the USD/JPY pair began the week at 109.108 and closed the week with a profit of 110.707 (approximately 1.599 movements in pip). Furthermore, rising major economic updates from the Japanese entity fostered a mildly negative impact on the entire nature of the Japanese yen. Also, the recent gains made by the US dollar could be dedicated to the New Home Sales data that was published by the US Census Bureau. A gain of 0.74M superseded the economist analysts forecast of 0.7M hence a positive impact on the side of the dollar was welcomed by the majority of markets traders and the interbank market.
Although the cooling and heating of the Evergrande debt would also have its footprints on the major currency pairs notion, with a huge impact on the Japanese yen. Across boards, The US Federal Reserve speech drew the attention of several US dollar speculators and economic analysts. And With a little emphasis on the earlier monetary events that took place in the currency market. Deep diving further into the economic calendar for the last trading period of September. We will learn that this week holds not so many notorious financial markets announcements
-The United States Core Durable Goods Orders (MoM) data for August will be released
-The Japan Leading Index ( is a combined index of 12 economic pointers that is formulated to forecast the future outcome of the Japanese economy).
-The Japan Monetary Policy Meeting Minutes will hold its conference this week, although the Japanese monetary policy committee has no concern for tampering with the yen interest rates.
USD/JPY Technical Analysis Outlook
The bull and bear nature of the ninja pair was, however, a correspondent of a bullish market structure. With a close observation on the weekly candlestick chart, market traders will notice that the price has been trading at a bullish tone since the 24th of January with the highest open price of 103.745. Until June 27th when the USD/JPY moved Into a tight range market structure, the Dollar versus Yen pair was discovered to have been approaching its all-time multi-year lows as it was enclosed by the ATR indicator.
In the case of last week's trading activity, the sudden skyrocketed price movement that took place in the dollar/yen was believed to have attested to the confirmation of bullish buying power which has been in dominance in the prior trading duration long before the inclination took charge of the market.
Daily Market Outlook
The thick green parallel consolidated price boundaries have significant indications regarding the dominated competitors between the bulls and the bears. Zooming out of the chart, we will notice that price has often been faced with restrictions towards breaking above the upper thick green resistance boundaries. And with the recent bullish action that took place in the market price movement of the USD/JPY pair, it should be noted that a bullish trading bias is said to have encompassed the USD/JPY market.
Hourly Market Outlook
A lot of focus will be put on the hourly time chart because it possesses the crucial entry and exit point of the market. Thus, the daily market trader should be on the viewpoint of a bullish trading bias
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