USDJPY pushes through Friday's high
US Dollar/Japanese Yen (USDJPY) Technical Analysis Report for Jan 13, 2020 | by Techniquant Editorial Team
USDJPY ended Monday at 109.94 surging 47 pips (0.43%) on high volume. Today's close at 109.94 marks the highest recorded closing price since May 22, 2019. The bulls were in full control today, moving the market higher throughout the whole session. Closing above Friday's high at 109.69, the pair confirmed its breakout through the prior session high after trading up to 26 pips above it intraday.
Daily Candlestick Chart (USDJPY as at Jan 13, 2020):
Monday's trading range has been 44 pips (0.4%), that's slightly below the last trading month's daily average range of 48 pips. Things look different on the weekly timeframe, where the market's trading range of the last week has been way above the market's average weekly trading range. The longer-term, monthly volatility is currently higher than usual for USDJPY.
One bullish candlestick pattern matches today's price action, the White Candle.
Buyers managed to take out the key technical resistance level at 109.70 (now S1), which is likely to act as support going forward. The last time this happened on January 8th, USDJPY gained 0.36% on the following trading day. After having been unable to move lower than 109.43 in the previous session, the market found buyers again around the same price level today at 109.51.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Among the eight market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "Decisive Up Move" stand out. Though it is usually interpreted as bullish, it has actually shown to be bearish for USD/JPY. Out of 339 times, USDJPY closed lower 52.80% of the time on the next trading day after the market condition occurred.
With three of the other Major FX Pairs closing higher and three closing lower today, the winners of the day are EURUSD surging 0.13% and AUDUSD gaining 0.04%. On the flipside the worst performers have been GBPUSD closing -0.58% lower and USDCHF losing -0.21%. Looking at the Minor FX Pairs and Crosses, the winners of the day have been EURGBP surging 0.7% and CHFJPY closing 0.61% higher. The worst performers of the day have been GBPCHF tanking -0.79% and GBPPLN closing -0.76% lower. Read more