Today US dollar is falling against yen moving away from local maximums formed after stable 2-day growth. Investors abstain from buying USD in view of important upcoming events that may considerably influence the dynamics of the market.
First of all, market players wait for the announcement of the new head of thr Fed at 21:00 (GMT+2). Yesterday President Trump wrote about in in his Twitter. Analysts believe it will be Jerome Powell who has a quite mild stand regarding further tightening of the .
Secondly, investors are cautious before the release of the tax bill that has been speculated about a lot recently. Finally, on Friday traders wait for the release of the October report on the US labor market. Taking yesterday’s ADP report into account, October data may meet quite high market expectations.
in D1 chart show moderate growth. The price range is actively narrowing. indicator is falling preserving a weak sell signal (the histogram is below the signal line). preserves a quite stable upward trend.
Resistance levels: 114.26, 114.47, 115.00.
Suport levels: 113.85, 113.55, 113.24, 112.93.
Long positions may be opened after breaking through the level of114.26 with target at 115.00 and stop-loss at 113.85. The period of implementation is 2-3 days.
A breakdown of the level of 113.55 may be a signal for downward correction with targets at 113.00, 112.55 and stop-loss at 114.00. The period of implementation is 2-3 days.