Market Cap:
$287.2B
BTC Dominance:
56.41%
btc:
$9144.00
eth:
$270.58
xrp:
$0.43
Advertise
Technical analysis

USDJPY Decline Continue Towards 112.40

ADS Securities | Dec. 10, 2018
USDJPY Decline Continue Towards 112.40

December 10, ADS Securities – The Dollar/Yen continues its drop following further weakness from both the US Dollar and US stock indices. Weakness in the greenback and US stocks was attributed to a disappointment in the NFP figures for November.

The NFP report released last Friday showed that only 155k jobs were created, compared to analyst expectations of 200k. In addition to that, wage growth rose by 0.2% only, missing analyst expectations of 0.3%.

For today, the pair will continue to be driven by sentiment surrounding the US dollar, and investors need to also track the performance of US stock indices which are still key drivers of the pair.

USDJPY Technical Forecast

The pair falls towards the 112.40 support level. Given that prices are now trending below all the three major moving averages, it is fair to say that the pair is in a downward trend with a bearish bias.

Most recently, the 50-period moving average crossed below the 200-period moving average reinforcing the bearish momentum. The next leg downwards will only take place if prices broke below the 112.22 support, paving the way for a drop towards 111.90.

Support: 112.22/ 111.90

Resistance: 112.50 / 112.84

Chart (H4)

ADS Securities Risk Disclaimer

This article was provided by ADS Securities analysts.

Trading foreign exchange, foreign exchange options, foreign exchange forwards, contracts for difference, bullion and other over-the-counter products carries a high level of risk. Hence, it may not be suitable for all investors.

All opinions, news, analysis, prices or other information contained in this communication are provided as general market commentary. It does not constitute investment advice. Nor a solicitation or recommendation for you to buy or sell any over-the-counter product or another financial instrument.

Disclaimer: The views and opinions expressed in this article are solely those of the author and do not reflect the official policy or position of AtoZ Markets.com, nor should they be attributed to AtoZMarkets.