Currency pair quotes Dollar Yen USD/JPY continue to move within a strong bullish correction and a downward channel. At the time of the publication of the forecast, the US Dollar to the Japanese Yen is 134.17. Moving averages indicate the presence of a short-term bullish trend for the pair. Prices have broken through the area between the signal lines down, which indicates pressure from sellers of the US Dollar and a potential continuation of the fall in prices already from current levels. As part of the forecast for the Japanese Yen on August 5, 2022, we should expect an attempt to develop growth and test the resistance area near the level of 134.75. Further, the price bounces down and the USD/JPY pair continues to fall to the area below the level of 127.85.
USD/JPY Forecast Dollar Yen August 5, 2022
An additional signal in favor of the fall of the USD/JPY currency pair will be a test of the resistance line on the relative strength index (RSI). The second signal will be a rebound from the lower border of the bullish channel. Cancellation of the option of falling the Dollar/Yen currency pair will be a strong growth and a breakdown of the level of 137.25. This will indicate a breakdown of the resistance area and continued growth of the Dollar/Yen pair. In this case, we should expect the pair to continue to rise to the area above the level of 139.95. With the breakdown of the support area and the closing of quotes below the level of 132.35.
Important news from Japan, which may affect the rate of the USD/JPY pair, is not expected, so the pair will continue to move as part of the technical analysis.
Thus, USD/JPY Forecast Dollar/Yen August 5, 2022 suggests an attempt to test the resistance area near the level of 134.75. Then, the continuation of the fall of quotations to the area below the level of 127.85. In favor of the pair’s decline, a test of the trend line on the relative strength index (RSI) will come out. Cancellation of the fall option will be a strong growth and a breakdown of the area of 137.25. This will indicate a breakdown of the resistance level and continued growth in the pair with a potential target above the level of 139.95.