09, September 2016

USD/JPY (a 4-hour chart)

General overview

The revised GDP report in Japan came in at 0.2% vs. expectations of 0.0%. The yen grew on the back of the weak U.S dollar after disappointing statistics and due to traders' concerns that the BoJ may not soften its policy further.

Current situation

The USD/JPY was neutral during the European hours and became more volatile in the North American session on Thursday. The price was at 101.40 the first part of the day and slightly grew when US traders came to the market. The instrument stays below the bearish 50, 100 and 200 EMAs which extended their decrease. The 100-EMA acts as a resistance for the price. The resistance is at 102.50, the support comes in at 101.40.

MACD is in the negative area. RSI is close to the oversold area.

Trading recommendations

The dollar is trying to reverse its losses. If the pair preserves an upward momentum the price will grow towards 102.50.