USDJPY Remains Vulnerable Ahead of Fed Meeting

FXOpen

The US Dollar (USD) inched slightly lower against the Japanese Yen (JPY) on Monday, dragging the price of USDJPY to less than 107.00 during the Asian session. The technical bias remains bearish because of a Lower High in the recent upside rally.

Technical Analysis

As of this writing, the pair is being traded near 106.90. A support may be noted around 106.55, the intraday low of Friday ahead of 106.25, the low of last week and then 105.54, the swing low of the last major downside move as demonstrated in the following daily chart.

USDJPY Remains Vulnerable Ahead of Fed Meeting

On the upside, the pair is likely to face a hurdle near 107.26, the intraday high of Friday ahead of 107.81, the horizontal resistance area and then 108.00, the psychological number. The technical bias will remain bearish as long as the 111.44 resistance area is intact.

US Consumer Sentiment

Preliminary consumer sentiment data for June published by the University of Michigan showed sentiment edging above expectations, but down from May. The Consumer Sentiment Index decreased to a 94.3 from 94.7 last month. This was slightly higher than the 94 analyst were expecting, according to Thomson Reuters. The current conditions portion of the survey rose to 111.7 from 109.9 in May, which was the reason for the slight rise in overall sentiment. Consumers were more downbeat about the future, though. The Consumer Expectations Index fell to 83.2 from 84.9 in May.

Trade Idea

Considering the overall technical and fundamental outlook, buying the pair could be a good strategy if we get a valid bullish reversal candle on the daily chart.

Trade over 50 forex markets 24 hours a day with FXOpen. Take advantage of low commissions, deep liquidity, and spreads from 0.0 pips. Open your FXOpen account now or learn more about trading forex with FXOpen.

This article represents the opinion of the Companies operating under the FXOpen brand only. It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.

Latest from Forex Analysis

Commodities and European currencies Test Key Supports EUR/USD Analysis: The Price Today Has Set Its Minimum Since the Beginning of March Market Analysis: GBP/USD Dives While USD/CAD Gains Bullish Pace The US Currency Corrects After Recent Growth USD/JPY Price Analysis: Consolidation ahead of US News

Latest articles

Indices

Although UK-100 Index Is Near All-time Highs, UK Economy Slips into Recession

Technically, a national economic recession is defined as two consecutive quarters of contraction, and yesterday's Office for National Statistics data confirmed that this has happened — UK GDP fell in the third and fourth quarters of 2023 by 0.1% and

Cryptocurrencies

DOGE Price Increases by 170% in Less Than 2 Months

On February 1, 2024, the DOGE/USD rate was = 0.0783. On the last Friday of March, it rose to 0.2150. The rising price means Dogecoin is now the eighth-largest cryptocurrency in the world by market capitalization, overtaking Cardano

Commodities

Market Analysis: Gold Price and Crude Oil Price Gain Bullish Momentum

Gold price started a steady increase above the $2,200 resistance level. Crude oil prices are gaining bullish momentum and might rise toward $85.00.

Important Takeaways for Gold and Oil Prices Analysis Today

· Gold price started a decent increase

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 65.68% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money.