Source: PaxForex Premium Analytics Portal, Technical Insight
As Head of Bank of Japan H. Kuroda said, the regulator expects the national economy to grow moderately in line with the trend:
There remains high uncertainty about the outlook for the economy;
The central bank does not expect Japan to return to deflation, but is keeping a close eye on price dynamics in light of current uncertainties;
In the upcoming monetary policy revision, the central bank sees no need to revisit yield curve controls;
The CB will examine various policy instruments, including yield curve controls and asset purchases, for their effectiveness;
The Central Bank should be prepared to act flexibly and take the necessary effective measures in response to possible changes in the economic or financial environment;
An extended period of ultra-low interest rates has hurt financial institution profits.
USD/JPY, 30 min
Pivot: 103.50
Analysis:
Provided that the currency pair is traded above 103.43, follow the recommendations below:
- Time frame: 30 min
- Recommendation: long position
- Entry point: 103.50
- Take Profit 1: 103.62
- Take Profit 2: 103.75
Alternative scenario:
In case of breakdown of the level 103.43, follow the recommendations below:
- Time frame: 30 min
- Recommendation: short position
- Entry point: 103.43
- Take Profit 1: 103.35
- Take Profit 2: 103.26
Comment:
Technically RSI shows the possibility of an uptrend during the day.
Key levels:
| Resistance | Support |
| 104.15 | 103.43 |
| 103.75 | 103.35 |
| 103.62 | 103.26 |
USD/JPY, D1
Pivot: 103.45
Analysis:
While the price is below 105.00, follow the recommendations below:
- Time frame: D1
- Recommendation: short position
- Entry point: 103.45
- Take Profit 1: 103.10
- Take Profit 2: 102.45
Alternative scenario:
If the level 105.00 is broken-out, follow the recommendations below:
- Time frame: D1
- Recommendation: long position
- Entry point: 105.00
- Take Profit 1: 105.65
- Take Profit 2: 106.50
Comment:
RSI shows a medium-term downtrend.
Key levels:
| Resistance | Support |
| 106.50 | 102.40 |
| 105.65 | 101.15 |
| 105.00 | 100.50 |
We also advise you to pay attention to the following currency pairs for intraday trading:
EUR/USD – buy above 1.2185 with 1.2255 and 1.2270 as Take Profit targets. Alternative scenario - if the level of 1.2185 is broken-down, you should consider selling with the targets 1.2155 and 1.2145 as Take Profit.
GBP/USD - short positions below 1.3595 with 1.3540 and 1.3500 targets as Take Profit. Alternative scenario - if the level of 1.3595 is broken-out, buy with the targets 1.3625 and 1.3650 as Take Profit.
USD/CHF - buy above 0.8870 with 0.8915 and 0.8945 targets as Take Profit. Alternative scenario - if the level 0.8870 is broken-down, sell with the TP 0.8840 and 0.8915.
