USD/JPY Price Forecast January 15, 2018, Technical Analysis

The US dollar has been very noisy over the course of the last 24 hours, hovering above the 111 level. The market should continue to be very noisy, but I think given enough time it’s likely that the marketplace will find buyers based upon value. The market continues to be noisy based upon the US dollar   selling off against most currencies, but at the same time the stock markets rallying gives a bit of a boost in this market. I think that the trading in this pair is going to be very difficult to deal with, but I recognize that a breakdown below the 111 level is rather drastic, as it slices through the 50% Fibonacci retracement level of the most recent move.

The market breaking below that level should send traders looking for the 110 level, which is the 61.8% Fibonacci retracement level. Otherwise, I think we go back and forth in a short-term move, and I look at the immediate area as potential value. The marketplace has been very noisy, and I think that is going to continue to be the case, as we have so many conflicting pressures. The market looks likely to be difficult, but if you can trade short-term charts, this might be an excellent opportunity. As far as longer-term traders are concerned, this is a market that is full of losses just waiting to happen, and I think that the markets will continue to see volatility as day traders and scalpers will come flocking to it.

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