USDJPY bulls have regained momentum after bouncing from 109.00 to 109.30 event area. USDJPY bounced higher from 109.00 psychological support level. Will USDJPY climb further upward in the coming days? What are the charts and technical indicators are saying? Read more to find further insights into today’s USD/JPY Technical Analysis.
April 13, 2021, | AtoZ Markets – USDJPY is currently trading around 109.65 area and trying to recover higher. After rejecting 111.00 to 110.80 key resistance area, the bears regained momentum and pushed the price downside towards 109.30 to 109.00 area for a retracement. As per the current price action context, the dynamic level of 20 EMA may carry the price as strong support on the daily chart in the coming days.
Moreover, on Monday, President Joe Biden tried to show his much-promoted interest in working with Republicans in Congress, with a bipartisan White House meeting as officials arranged to struggle with his $2.3 trillion propositions to improve U.S. framework. On the other hand, Bank of Japan Governor Haruhiko Kuroda publicized on Tuesday the advantages of a powerless yen currency, saying it has supported manufacturers by swelling the estimation of benefits earned abroad.
USDJPY Bounced Higher As the Overall Bias Is Bullish
USDJPY is currently residing near 109.65 area and trying to push the price upward. However, the price also broke over the Bollinger Bands’ middle band on the intraday chart.
Image: USDJPY 4 Hour Chart
According to the 4-hour chart, USDJPY bounced higher and currently trading around 109.65 area. As per the current scenario, if the price can have an impulsive bullish candle close over the last candle’s high, the bulls may sustain the bullish pressure towards 110.80 to 111.00 area again in the coming days.
In addition, the dynamic level of 20 EMA is currently residing below the price. Along with the Bollinger Bands middle band. So, the dynamic level of 20 EMA may act as a strong support to push the price upside. Besides, the Bollinger Bands’ middle band may work as a confluence of the dynamic level in the process.
USDJPY Bulls May Continue the Bullish Trend
According to the daily chart, USDJPY bounced higher as the bulls are optimistic. As per the current price action, if the price can have an impulsive daily bullish candle close over 109.00 to 109.30 support area, the bulls may continue the bullish trend towards 110.80 to 111.00 area as a first target. The second target will be 112.00 to 112.20 area if the price can break over 110.80 to 111.00 area in the days ahead.
Image: USDJPY Daily Chart
Along with this, the dynamic level of 20 EMA is currently residing below the price. So, it may carry the price as strong support in the process. Moreover, the Stochastic Oscillator lines are currently residing above the oversold level 20 and had a bullish crossover. Besides, the Stochastic Oscillator lines have created a bullish hidden divergence, which indicates that the bulls may sustain the bullish trend further in the coming days.
To conclude, as long as the price residing over 109.00 to 109.30 support level, the bias will remain bullish. An impulsive daily bullish close is needed to identify the definite momentum in the coming days.