USDJPY Potential Long Forecast | 8th March 2023
Fundamental Backdrop
1. The Average Cash Earnings y/y dropped from 4.1% to 0.8%, this shows that consumers have lesser disposable income to spend correlating to lower income.
2. Bank Lending y/y increased from 3.1% to 3.3% which shows confidence in future financial position. However, this is overshadowed by Fed Powell's statement to increase interest rates, strengthening the DXY.
3. The Current Account dropped from 1.18T to 0.22T, which indicates that domestic currency's demand has dropped.
Technical Confluences
1. The overall bias for USDJPY on the H4 chart is bullish . To add confluence to our bias, price is above the Ichimoku cloud and along an ascending trend-line.
2. Near-term resistance at 137.600.
3. Minor support at 137.100
Idea
I will be looking for price to possibly retest the minor support at 137.100 before continuing bullish towards the resistance at 137.600.
NOT FINANCIAL ADVICE DISCLAIMER
The trading related ideas posted by OlympusLabs are for educational and informational purposes only and should not be considered as financial advice. Trading in financial markets involves a high degree of risk, and individuals should carefully consider their investment objectives, financial situation, and risk tolerance before making any trading decisions based on our ideas.
We are not a licensed financial advisor or professional, and the information we are providing is based on our personal experience and research. We make no guarantees or promises regarding the accuracy, completeness, or reliability of the information provided, and users should do their own research and analysis before making any trades.
Users should be aware that trading involves significant risk, and there is no guarantee of profit. Any trading strategy may result in losses, and individuals should be prepared to accept those risks.
OlympusLabs and its affiliates are not responsible for any losses or damages that may result from the use of our trading related ideas or the information provided on our platform. Users should seek the advice of a licensed financial advisor or professional if they have any doubts or concerns about their investment strategies.
1. The Average Cash Earnings y/y dropped from 4.1% to 0.8%, this shows that consumers have lesser disposable income to spend correlating to lower income.
2. Bank Lending y/y increased from 3.1% to 3.3% which shows confidence in future financial position. However, this is overshadowed by Fed Powell's statement to increase interest rates, strengthening the DXY.
3. The Current Account dropped from 1.18T to 0.22T, which indicates that domestic currency's demand has dropped.
Technical Confluences
1. The overall bias for USDJPY on the H4 chart is bullish . To add confluence to our bias, price is above the Ichimoku cloud and along an ascending trend-line.
2. Near-term resistance at 137.600.
3. Minor support at 137.100
Idea
I will be looking for price to possibly retest the minor support at 137.100 before continuing bullish towards the resistance at 137.600.
NOT FINANCIAL ADVICE DISCLAIMER
The trading related ideas posted by OlympusLabs are for educational and informational purposes only and should not be considered as financial advice. Trading in financial markets involves a high degree of risk, and individuals should carefully consider their investment objectives, financial situation, and risk tolerance before making any trading decisions based on our ideas.
We are not a licensed financial advisor or professional, and the information we are providing is based on our personal experience and research. We make no guarantees or promises regarding the accuracy, completeness, or reliability of the information provided, and users should do their own research and analysis before making any trades.
Users should be aware that trading involves significant risk, and there is no guarantee of profit. Any trading strategy may result in losses, and individuals should be prepared to accept those risks.
OlympusLabs and its affiliates are not responsible for any losses or damages that may result from the use of our trading related ideas or the information provided on our platform. Users should seek the advice of a licensed financial advisor or professional if they have any doubts or concerns about their investment strategies.
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