What Will Happen with the Euro? An Economic Perspective.
eurusd-is-falling-what-to-expect-from-the-future-price-movement
How Will BOJ Statement Affect the Yen?
Information is not investment advice
The Bank of Japan is expected to release a statement regarding its monetary policy for the second time this year. This statement, due on the 10th of March, usually has a very high impact on the outlook of the Japanese Yen as it ties in closely with the short-term interest rates and overall strength of the currency.
USDJPY
The Daily timeframe chart of the USDJPY already looks like the onset of a downward move. We can see the 100- and 200-period moving averages have successfully rejected prices from going higher. Also, looking at the fact that the rejection occurred from the supply zone overlapping with the 88% Fibonacci retracement level, it is quite safe to sustain a bearish sentiment.
Analysts’ Expectations:
Direction: Bearish
Target: 131.7
Invalidation: 138.3
GBPJPY
Here we have a large wedge constricting price movement on the daily timeframe of GBPJPY. Price has also recently bounced off the supply zone above the trendline resistance of the wedge. Based on this, the position of the moving averages, and the 76% of the Fibonacci retracement zone, it is safe to expect a further price decline.
Analysts’ Expectations:
Direction: Bearish
Target: 158.9
Invalidation: 168.9
CADJPY
CADJPY is reacting within the highlighted supply zone, and we also have a bearish alignment from the moving averages. As a result of these confluences, I have a bearish sentiment. However, it is less confident than I would like.
Analysts’ Expectations:
Direction: Bearish
Target: 97.9
Invalidation: 101.8
CHFJPY
We've been pursuing this particular setup for a few days. It is noticeable that the price here is still trading under the supply zone, with slight rejections already taking place. The resistance trendline and the 76% Fibonacci retracement level add additional confluences. The 50-period moving average trading below the 100-period moving average also confirms a bearish sentiment.
Analysts’ Expectations:
Direction: Bearish
Target: 142.7; and 141
Invalidation: 148.5
CONCLUSION
The trading of CFDs comes at a risk. Thus, to succeed, you have to manage risks properly. To avoid costly mistakes while you look to trade these opportunities, be sure to do your due diligence and manage your risk appropriately.
Legal disclaimer: The content of this material is a marketing communication, and not independent investment advice or research. The material is provided as general market information and/or market commentary. Nothing in this material is or should be considered to be legal, financial, investment or other advice on which reliance should be placed. No opinion included in the material constitutes a recommendation by Tradestone Ltd or the author that any particular investment security, transaction or investment strategy is suitable for any specific person. All information is indicative and subject to change without notice and may be out of date at any given time. Neither Tradestone Ltd nor the author of this material shall be responsible for any loss you may incur, either directly or indirectly, arising from any investment based on any information contained herein. You should always seek independent advice suitable to your needs.
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