Log in Open account
UAE
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 64% of retail investor accounts lose money when trading CFDs with this provider.
Show more
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 64% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs, FX or any of our other products work and whether you can afford to take the high risk of losing your money.
Show less
Technical Update - JPY pairs rebounding. Find the upside potential here Technical Update - JPY pairs rebounding. Find the upside potential here Technical Update - JPY pairs rebounding. Find the upside potential here

Technical Update - JPY pairs rebounding. Find the upside potential here

Forex 4 minutes to read
KCL
Kim Cramer Larsson

Technical Analyst, Saxo Bank

  • JPY pairs are rebounding off supports following their massive sell-off the past two weeks
  • 0.382 retracement levels are the first targets in sight. But there could be further upside potential. Find the levels here and check out what is needed for the JPY pairs to resume down trend
  • USDJPY, EURJPY, AUDJPY and GBPJPY 

USDJPY has bounced from strong support at around 151.85 and is likely to test the 0.382 retracement at 155.76. However, there is room up to 157.50 resistance. The slightly declining 55 Moving Average will add to the resistance around that area

If broken there is strong resistance at around 158.40

RSI is in negative sentiment suggesting that USDJPY could resume downtrend after a correction. If breaking below 153.00 USDJPY could also break the 151.85 support with downside potential to 150.80 possibly lower.

Source all charts and data: Saxo Group

EURJPY rebounded just before it touched the strong support at around 164.64-164.00. a rebound that is likely to take EURJPY to the 0.382 retracement at 168.88.

However, the strength indicator RSI is showing divergence indicating the sell-off has exhausted and EURJPY could push higher towards the rising trendline and strong resistance at around 171.47.

An RSI close above 60 threshold will support the scenario of EURJPY pushing to 171.47

If EURJPY slides back dropping below today’s low at 166.15 the support area 164.64-16.00 is likely to be tested

AUDJPY spiked below the 200 Ma and the minor support at 99.91 to bounce just above strong support at around 98.73.
Now back above the rising trendline AUDJPY is likely to bounce further to the 0.682 retracement at 103.10.

A daily close above will mean that AUDJPY has close back above the 100 Moving Average indicating likely further rebound potential.

An RSI close back above 60 threshold will confirm that scenario to play out If that scenario plays out with upside potential to 105.50

However, if moving back below 99.90 the support at around 98.73 is likely to be tested.

GBPJPY rebounded from the rising trendline and the support at around 197.65 after spiking below few times.

A rebound to the 0.382 retracement at 100.55 is likely. However, there could be upside potential to at the 0.618 retracement at 203.46, if RSI closes above 60 threshold thereby back showing positive sentiment.

If GBPJPY takes out last week’s low at 195.85 there would be downside potential to 193.40-191.35

Quarterly Outlook 2024 Q3

Sandcastle economics

01 / 05

  • Macro: Sandcastle economics

    Invest wisely in Q3 2024: Discover SaxoStrats' insights on navigating a stable yet fragile global economy.

    Read article

  • Bonds: What to do until inflation stabilises

    Discover strategies for managing bonds as US and European yields remain rangebound due to uncertain inflation and evolving monetary policies.

    Read article

  • Equities: Are we blowing bubbles again

    Explore key trends and opportunities in European equities and electrification theme as market dynamics echo 2021's rally.

    Read article

  • FX: Risk-on currencies to surge against havens

    Explore the outlook for USD, AUD, NZD, and EM carry trades as risk-on currencies are set to outperform in Q3 2024.

    Read article

  • Commodities: Energy and grains in focus as metals pause

    Energy and grains to shine as metals pause. Discover key trends and market drivers for commodities in Q3 2024.

    Read article
Disclaimer

The Saxo Bank Group entities each provide execution-only service and access to Analysis permitting a person to view and/or use content available on or via the website is not intended to and does not change or expand on this. Such access and use are at all times subject to (i) The Terms of Use; (ii) Full Disclaimer; (iii) The Risk Warning; (iv) the Rules of Engagement and (v) Notices applying to Saxo News & Research and/or its content in addition (where relevant) to the terms governing the use of hyperlinks on the website of a member of the Saxo Bank Group by which access to Saxo News & Research is gained. Such content is therefore provided as no more than information. In particular no advice is intended to be provided or to be relied on as provided nor endorsed by any Saxo Bank Group entity; nor is it to be construed as solicitation or an incentive provided to subscribe for or sell or purchase any financial instrument. All trading or investments you make must be pursuant to your own unprompted and informed self-directed decision. As such no Saxo Bank Group entity will have or be liable for any losses that you may sustain as a result of any investment decision made in reliance on information which is available on Saxo News & Research or as a result of the use of the Saxo News & Research. Orders given and trades effected are deemed intended to be given or effected for the account of the customer with the Saxo Bank Group entity operating in the jurisdiction in which the customer resides and/or with whom the customer opened and maintains his/her trading account. Saxo News & Research does not contain (and should not be construed as containing) financial, investment, tax or trading advice or advice of any sort offered, recommended or endorsed by Saxo Bank Group and should not be construed as a record of our trading prices, or as an offer, incentive or solicitation for the subscription, sale or purchase in any financial instrument. To the extent that any content is construed as investment research, you must note and accept that the content was not intended to and has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such, would be considered as a marketing communication under relevant laws.

Please read our disclaimers:
- Notification on Non-Independent Investment Research (https://www.home.saxo/legal/niird/notification)
- Full disclaimer (https://www.home.saxo/legal/disclaimer/saxo-disclaimer)
- Full disclaimer (https://www.home.saxo/en-mena/legal/disclaimer/saxo-disclaimer)


Business Hills Park – Building 4,
4th Floor, office 401, Dubai Hills Estate, P.O. Box 33641, Dubai, UAE

Contact Saxo

Select region

UAE
UAE
Products & pricing
Platforms
Accounts & service
General
Other
Legal

Trade responsibly
All trading carries risk. Read more. To help you understand the risks involved we have put together a series of Key Information Documents (KIDs) highlighting the risks and rewards related to each product. Read more

Saxo Bank A/S is licensed by the Danish Financial Supervisory Authority and operates in the UAE under a representative office license issued by the Central bank of the UAE.

The content and material made available on this website and the linked sites are provided by Saxo Bank A/S. It is the sole responsibility of the recipient to ascertain the terms of and comply with any local laws or regulation to which they are subject.

The UAE Representative Office of Saxo Bank A/S markets the Saxo Bank A/S trading platform and the products offered by Saxo Bank A/S.