The USD/JPY price experienced a slight drop today, but buyers are still in control of the situation. Looking at the near-term chart, a 30 pip drop earlier may not seem significant. According to a reader named Alex, there have been reports that the BOJ is not in a hurry to raise rates in October and is considering changing their view on upside price risks. Let’s take a closer look at the hourly chart for USD/JPY.
Sellers attempted to regain momentum earlier in the week but failed to push the price below 149.00. The 100-hour moving average (red line) has once again become an important support level for the pair. As long as the price stays above this level, buyers will maintain a bullish near-term outlook. However, if the price breaks below this level, sellers may start to regain control.
It’s important to note that we are approaching key resistance levels, so the longer the price remains at the current levels, the more likely it is that sellers will come back into play. The 100-day moving average is currently at 150.81 and has already crossed back below the 200-day moving average.
In conclusion, while there was a slight drop in the USD/JPY price today, buyers are still holding the reins. The key levels to watch are the 100-hour moving average as support and the 100-day moving average as resistance. As always, it’s essential to stay informed about any developments that could impact the currency pair’s movement in the near future.
