Fundamental Analysis

• China Announces Large-Scale Economic Stimulus, Oceania Currencies Strengthen.
• The Reserve Bank of Australia Maintains High-Interest Rate Policy, AUDUSD Surges.

USDJPY technical analysis

Analyzing the daily chart of USDJPY. The 28-day MA is being watched, and it has not been able to break above it. If it fails to break the upper line of the descending channel, there is a possibility of falling below 140JPY in the next decline.

The U.S. Consumer Confidence Index has experienced a significant drop, the largest since 2021, indicating emerging weakness in the U.S. economy. Considering the ongoing cycle of interest rate cuts, it may trend towards a stronger yen.

Day trading strategy (1 hour)

Analyzing the 1-hour chart of USDJPY. It has fallen below the 52 MA and is targeting the 200 MA. The RSI is at 41, indicating a downward trend. The downward trend is prevailing.

The immediate downside target is around 142.20JPY, where the 200 moving average is positioned.

The day trading strategy is to maintain a short-term selling perspective until it reaches the 200 MA. Overall, the market is in a downward trend, but it is a very challenging situation. Additionally, quarter-end movements should be monitored.

Support/Resistance lines

The support and resistance lines to consider going forward are as follows:

144.50JPY ••• Previously Significant Price Range
142.17JPY ••• 200 Moving Average

Market Sentiment

USDJPY Sell: 37% Buy: 63%

Today’s important economic indicators

*Trading advice in this article is not provided by Milton Markets, but by Shu Fujiyasu Jr., a certified technical analyst.