USDJPY Support Fails: Where To Next ?

Fri 13th January 2023 : Daily Currency Strength Analysis

In Today’s Video we’re looking at Trading Setups in:

• USDJPY
• EURCHF

USDJPY Support Fails

In today’s currency strength video we identified two markets of interest. The USDJPY and EURCHF have both formed a break of key support and resistance. 

The tables highlight that the USD is the weakest currency and the JPY is the strongest. Looking at the USDJPY currency pair we can see why. 

On the charts we can see that USDJPY has been trading within a bearish channel however, price recently found support at the lows of 130.50.

Due to the strength and weakness within the currency pair the price has now broken down through this level. 

If price is going to continue lower we could look for opportunities down to the 126.50 or 124.00 levels of support.

Technical Observations

• The USD is W1 and JPY is S1 on the both trading tables.
• Price is trading within a bearish channel.
• The 130.50 support level has failed offering short trading opportunities.
• Sellers could target previous lows of 126.50 or the 2015 highs of 124.00 as targets.
• Trend traders could watch for a lower high to form back at 130.50 and the bearish channel highs.