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Forecast for USD / JPY on October 23, 2018

USD / JPY

The Japanese yen makes all efforts in the fight against technical resistance, but external forces do not allow it to do so. Yesterday, the price tried to get above the trend line of the price channel and the Kruzenshtern trend indicator line on the daily chart. This morning, the price was again dropped down to the opening level of Monday. At the same time, on the four-hour chart, a price divergence with Marlin oscillator was formed.

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Stock markets do not provide much-needed support for Japanese currency. Yesterday, the American S & P500 fell 0.43%. Today, the Japanese Nikkei 225 has fallen by 2.38% and the Chinese China A50 by 2.01%. The cumulative situation is difficult for the yen. It is now extremely difficult to return to it again over the price channel line. With a break of support for the Kruzenshtern line on the four-hour chart at 117.34, the first goal is opened in a further decline of 111.64. If the price is fixed under it, a deeper drop is possible. The second target is 110.39, at least on September 7.

The material has been provided by InstaForex Company - www.instaforex.com