NZDJPY Buyers To Target 91.00 Resistance

Tues 4th July 2023 : Daily Forex Price Action

Today we’re looking at Trading Setups in:

• NZDJPY (Primary Focus Pair)
• CHFJPY (Covered In Video)

Primary Focus Pair: Trade Plan & Details

Details:

NZDJPY is our forex pair in focus today as JPY remains top of the day traders tables once again. 

If you were to take a look at our historical 30-day rolling tables below our live forex strength vs weakness tables, you can see JPY has been a weak currency for some time.

This information can be taken in two ways. 1) it means that the JPY is weak and we should continue to follow that. 2) The longer it remains on the tables, the more likely this weakness is to become exhausted.

In this scenario we have little choice but to follow JPY weakness as that is where the action is.

But we also have to be cautious that the move may be coming to an end.

We could use USDJPY as a gauge to see where price could potentially turn around, as the Bank of Japan was rumored to intervene around 145.00. 

Price did test this level and move slightly lower, but no intervention has been seen yet, however, if USDJPY reached 150.00 we could see an intervention, as this was the last place it occurred before. 

So if we are to assume there will be no BoJ intervention yet then we could expect  NZDJPY to continue to trade higher, as price has just traded through prior highs at 88.00.

NZDJPY is trading within a bullish weekly channel, which trendline reaches up to resistance at 91.00. 

Traders could be waiting for price to trade back towards minor support around 89.00 before looking for a trade plan long.