Is yen about to tumble?

posted by genuinelyFX at 03/16/2015 - 20:09 GMT

The USDJPY pair is forming a flag on a daily chart, right about support at 121 area. This poses a threat to the high at 121.83 made in December. Early in the morning, at 06:30 GMT we have the BoJ press conference, which might bring this move to a start, if it’s gonna stall that long.

USDJPY daily chart


On a weekly basis, we see better the wave pattern on a line chart based on closed prices. We might be in a wave 5, looking to break above wave 3.

USDJPY weekly close line data


The trend is UP and we maintain our bullish bias. We may reach the 124-125 area, the June 2007 high.