USDJPY: End to lower weekly highs signals bullish reversal
A sequence of four down weeks in USDJPY ended over the past five days. Buying interest emerged at marginally higher levels than the previous week, both below 100.00. Although the bulk of the trading was consolidation around 100.000 without clear signals for sentiment, Friday’s powerful gains took USDJPY comfortably through the 13-day moving average for the first time in a month – regaining the previous week's entire net fall. A sequence of lower weekly highs has been ended and although a reaction to Friday's late strong upside is likely, signals now look for setbacks to find fresh demand. So with these factors in the background, our signals for this week are pointing higher.
Management and risk description
Allow roon to buy the dips and raise stop to entry if the first target is met.
Entry: Buy at market and then 101.18, Friday's Marabuzo line.
USDJPY weekly chart
USDJPY quarterly chart
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