USD/JPY Bears Failed to Make a New Low: Can Buyers’ Push the Price Up?
June 01, 2021|The Forex Secret –USD/JPY is one of the major currency pairs from Asian Giant Japan and the US. These currency pairs remain trendy when major economic releases support but for the last couple of years, it is trading within a range where the primary high of the range is $110.00 level.
Since the beginning of 2021, investors became confused regarding the momentum of USD/JPY for June 2021. However, as the price remained corrective after a strong bullish daily close, we may see some bullish pressure in the coming days.
USD/JPY Daily Chart
Based on the daily chart of USD/JPY, the price is moving up by creating higher highs, which is a sign that the price makes another new high towards the 111.00 level.
In the above image, we can see the daily chart of USD/JPY where the price is trading above the dynamic level of 20 EMA with multiple bullish daily closes. Due to the monthly closing, the price faced some bearish pressure but failed to break below the dynamic 20 EMA.
On the other hand, MACD is still bullish and Histogram is making new highs
USD/JPY H4 Chart
In the H4 timeframe, the price is trading above the dynamic 20 EMA with an H4 close. However, the price is still below the 109.76 level where any strong bullish H4 close may boost the bullish possibility in the price.
On the other hand, If the price fails to break above the 109.76 level and make a bearish H4 close below the dynamic 20 EMA will increase the bearish possibility. In that case, the price may move lower towards 108.65 level.
However, the global financial market is very volatile, which makes investors remain cautious about taking trading decisions. Make sure to follow a strong money management system besides the market context.
- USDJPY Market Sentiment: Bullish
- USDJPY target level: 111.20
- Possible Invalidation Level: 109.44