FXCM

USDJPY Daily Analysis | 6 April 2020

Long
SAXO:USDJPY   U.S. Dollar / Japanese Yen
Today we have USDJPY again !

I have a strong bullish fundamental bias for USDJPY:

USD rose after President Trump said that the Covic-19 situation in the U.S. is getting better. Both President Trump and Vice President Pence said they saw signs that the coronavirus outbreak was beginning to stabilize or level off in the U.S. New York state fatalities fell for the first time. Italy has the fewest deaths in more than two weeks, while France reported the lowest number in five days and Spain’s tally fell for three days in a row.

This boosts the risk sentiment in the market. Now Asian stocks advances. U.S. Stocks are set to jump, with Dow futures pointing to a more than 800 point gain. It is good news for USDJPY , which tracks risk sentiment closely.

Technically, price broke above our entry which used to be a resistance ( 38.2% Fibonacci retracement and 100% Fibonacci extension and a previous horizontal swing high). It was an excellent entry in the morning but I missed it during lunchtime. Now I am waiting for a pullback to my entry, sadly.

Once price broke the 38.2%, it is likely to go higher to 61.8%. so that's where I put my target. My stop loss is at the horizontal overlap level which stands well below the ascending trendline. Price is respecting the trendline well and in the case it broke below, I leave some buffer for my stop loss.

That's my trade of the day! If you like my idea, pls "like " it or give me comments , thanks!
Trade active: update of the trade here!

Follow and Trade this analysis from your Charts. FXCM now Integrated with TradingView. Contact FXCM for more information