USD/JPY Price Forecast – US Dollar Continues to Climb Towards 107 JPY

The US dollar rallied a bit during the trading session on Wednesday to reach towards the ¥107 level. At this point, the market has ran into a bit of a buzz saw, but quite frankly the market is overbought anyway. With that being the case, the market is likely to drift lower, but I am not interested in shorting this market. In fact, I believe that if we do pull back, I will be more than willing to buy this market at lower levels. In fact, I think that it is very likely that the 200 day EMA underneath would be massive support, but I do not even know that we get down there. What I am waiting for some type of daily candlestick to get involved.

USD/JPY Video 4.03.21

On the other hand, we could break through the ¥107 level, but I would not chase the market. I think at the very least we need to pullback 100 pips to get involved. I do recognize that the Friday session features the Nine Farm Payroll figures, which of course will have a significant influence on this market as per usual. I suspect it is likely that my buying opportunity will, either just before the jobs number or just after. That is okay, am willing to be patient because we have seen such a massive repudiation of the downtrend that I do think that we have quite a bit of time ahead for the entire move. In fact, this could be a multi-year move the way things are looking. I have no interest in shorting this pair anytime soon.

For a look at all of today’s economic events, check out our economic calendar.