20, September 2016

USD/JPY (a 4-hour chart)

General overview

The dollar weakened against the yen ahead of the Fed and BoE’s meetings this Wednesday.

Current situation

The neutral phase that started last week is still intact. The price traded within a broad range between 101.40 and 102.50. The moving averages are neutral in the 4 hours chart. The resistance is at 102.50, the support comes in at 101.40.

MACD entered the negative area. MACD slightly decreased which confirms the strength of sellers. RSI is approaching oversold area.

Trading recommendations

We prefer to stay neutral for now. We believe the price will continue sideways trades ahead of the Fed meeting this Wednesday.