USD/JPY Price Forecast March 9, 2018, Technical Analysis

The US dollar has gone back and forth during the course of the session on Thursday, as we continue to see a lot of noise in this market. I believe that the market is of course going to be very sensitive to overall risk appetite around the world, so pay attention to the stock markets for clues as to where we are going next. Ultimately, I think that the market will probably go towards the 107.50 level, but it’s not to be easy to get there. I believe that every time we pull back a bit, there should be buyers looking to pick up value. However, if we were to break down below the 105 level, the market could break down significantly and start reaching towards the 100 level.

I believe that the 100-level underneath is going to be even more interesting if we can get down there, because it is essentially parity between these 2 currencies. I think that the volatility in this market will continue to be very choppy, but given enough time, the market should then eventually go much higher. I believe that if you are levered in a very low manner, you can ride out a lot of noise and perhaps take advantage of this trend line that crosses the 105 level that should send this market to the upside. If we break down, then things could get ugly, as it would suggest that there is a breakdown in global confidence with the financial markets as a catalyst.

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