USD/JPY Price Analysis and Trade Forecast: Daily Trading Signal

Daily Price Outlook

On October 12, the USD/JPY currency pair saw a marginal downtrend of 0.11%, positioning at 149.122 during the Asian trading session as reflected in the 4-hour chart. The established pivot point for the pair stands at 148.92.

From a resistance standpoint, USD/JPY confronts an immediate barrier at 150.55, with ensuing levels positioned at 151.78 and 153.41. Contrarily, the support zones are discernible at 147.69, then at 146.04 and further down to 144.81.

Focusing on the technical indicators, the Relative Strength Index (RSI) manifests a value of 55, which tilts slightly towards a bullish bias, yet remains neutral without entering the overbought or oversold territories.

The Moving Average Convergence Divergence (MACD) posts a reading of 0.061, contrasting with its signal line at 0.02, signifying possible upward momentum. Significantly, the pair currently hovers just above its 50-Day Exponential Moving Average (EMA), marked at 148.94, which typically indicates a short-term bullish inclination.

While specific chart patterns are yet to emerge prominently, the overarching sentiment for USD/JPY leans bearish if it settles below the 149.30 mark, with a potential reversal to bullishness if it surpasses this threshold. For the immediate future, traders should remain vigilant and anticipate potential tests of the aforementioned resistance and support zones, which would shape the short-term direction of the currency pair.

USD/JPY - Trade Idea

Entry Price – Sell Below 149.260

Take Profit – 148.407

Stop Loss – 149.838

Risk to Reward – 1: 1.4

Profit & Loss Per Standard Lot = +$853/ -$578

Profit & Loss Per Micro Lot = +$85/ -$57