After the event, the Chairman of the Federal Reserve Jerome Powell revealed at the follow up press conference that not one but three rate cuts are possible in 2024. These news caused a drop of the Dollar that continued overnight. The Dollar index reached a slow as 102.90, where it found support.
On the USD/JPY charts t resulted in a decline to the 150.50 level. Prior to the events, the USD/JPY had almost reached the 152.00 mark. On Thursday, it appeared that the surge is resuming.
Economic Calendar
There are no more notable events scheduled for this week.
USD/JPY hourly chart analysis
In regards to resistance, the 151.50 level is keeping the pair down. Higher above, the 152.00 mark and the combination of the 152.50 level and the weekly R3 simple pivot point are expected to act as resistance.On the other hand, a decline of the USD/JPY has to pass below the support of the 150.50/151.00 range and the weekly R2 simple pivot point at 150.89. Further below, note the ascending 100-hour simple moving average, the weekly R1 simple pivot point at 149.94 and the 150.00 mark.
Hourly Chart
USD/JPY daily chart's review
On the daily candle chart, note that the 152.00 level marks the 2022 high level.Daily chart
Before the Federal Reserve events, trader open position volume showed that Dukascopy traders were 63% long.
Meanwhile, pending orders in the 100-point range around the rate were 65% to sell the USD/JPY.
After the event, 59% were long and orders were 66% to sell. Some traders had already taken profits from the surge.