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Forecast for USD/JPY on May 25, 2020

USD/JPY

The Japanese yen is consolidating between the support of the trend line of the price channel (107.42) and the resistance of the balance indicator line with the growing line of the Marlin oscillator for the fourth session. This is a sign of continued price growth at the end of the current consolidation. The first growth target of 108.30 is the February 3 low. Consolidating above the level will continue to grow to the second target level of 109.50. This is the main scenario.

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The price has more work to do to develop the downward movement: overcome support 107.42 and MACD 107.20 line. In this case, the decline may increase to 106.45.

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The price is developing above the indicator lines on the four-hour chart, the Marlin oscillator is already in its growing half. Consolidating will likely continue today, because it is a public holiday in the United States and the United Kingdom.

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