USD/JPY: a SELL trade idea
What's up?
The FOMC meeting minutes released on Wednesday showed that Fed officials are committed to supporting the economy until its recovery is more secure. Today the Federal Reserve’s Chair Jerome Powell may confirm in his speech that the US central bank aims to keep interest rates lower for longer.
What does it mean for traders?
As we've established, the US dollar may find itself under additional pressure in the near term. What is the best way to trade on a weaker USD? Have a look at USD/JPY. The pair is facing the long-term resistance line at the current levels. In fact, it couldn’t rise above 111.00 and returned below 110.00. The further slide may take the price to the 200-week MA at 109.00. The Awesome Oscillator on the D1 shows potential for further decline.
Trade idea for USD/JPY
SELL at 109.40; TP 109.00; SL 109.55
