Japanese Yen: USD/JPY (JPY=X) still very much in the consolidation phase

Japanese Yen: USD/JPY (JPY=X) still very much in the consolidation phase

Japanese Yen: USD/JPY (JPY=X) still very much in the consolidation phase

The US dollar has gone sideways overall against the Japanese yen, showing a bit of resiliency. However, the ¥108 level underneath is massive support, so I think it is going to continue to be able to hold the market up a little bit. However, if we break down below the ¥108 level, then I think the market could go down to the ¥107 level, possibly even the ¥105 level. I also recognize that rallies could be selling opportunities, but we have seen a lot of destruction in this market so I think that a bit of calm trading is probably necessary.

Overall, the bias in prices is: Downwards.

By the way, prices are vulnerable to a correction towards 110.93.

The projected upper bound is: 110.41.

The projected lower bound is: 107.53.

The projected closing price is: 108.97.

Candlesticks

A black body occurred (because prices closed lower than they opened).
During the past 10 bars, there have been 7 white candles and 3 black candles for a net of 4 white candles. During the past 50 bars, there have been 22 white candles and 28 black candles for a net of 6 black candles.

Momentum Indicators

Momentum is a general term used to describe the speed at which prices move over a given time period. Generally, changes in momentum tend to lead to changes in prices. This expert shows the current values of four popular momentum indicators.

Stochastic Oscillator

One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 85.5671. This is an overbought reading. However, a signal is not generated until the Oscillator crosses below 80 The last signal was a buy 10 period(s) ago.

Relative Strength Index (RSI)

The RSI shows overbought (above 70) and oversold (below 30) areas. The current value of the RSI is 42.02. This is not a topping or bottoming area. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a buy 9 period(s) ago.

Commodity Channel Index (CCI)

The CCI shows overbought (above 100) and oversold (below -100) areas. The current value of the CCI is 58. This is not a topping or bottoming area. The last signal was a buy 8 period(s) ago.

MACD

The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a buy 2 period(s) ago.

Rex Takasugi – TD Profile

FOREX JPY= closed down -0.010 at 109.070. Volume was 97% below average (consolidating) and Bollinger Bands were 41% wider than normal.

Open High Low Close Volume___
109.080 109.120 109.020 109.070 3,044

Technical Outlook
Short Term: Neutral
Intermediate Term: Bearish
Long Term: Bearish

Moving Averages: 10-period 50-period 200-period
Close: 108.60 111.62 111.18
Volatility: 7 8 7
Volume: 90,921 106,920 104,858

Short-term traders should pay closer attention to buy/sell arrows while intermediate/long-term traders should place greater emphasis on the Bullish or Bearish trend reflected in the lower ribbon.

Summary

FOREX JPY= is currently 1.9% below its 200-period moving average and is in an downward trend. Volatility is high as compared to the average volatility over the last 10 periods. Our volume indicators reflect volume flowing into and out of JPY= at a relatively equal pace (neutral). Our trend forecasting oscillators are currently bearish on JPY= and have had this outlook for the last 29 periods.

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