USDJPY analysis 23.03.2020

The US dollar fell during the Asian session to witness its rebound for the second session from its top since February 24 against the Japanese yen amid the scarcity of economic data today by the Japanese economy and its American counterpart and in light of the growing fears of an outbreak of the Corona virus and a global assessment of investors to stimulate global to meet Follow Corona on the global economy.

At 05:50 am GMT, the US dollar pair fell against the Japanese yen by 0.88% to 109.88 levels compared to the opening levels at 110.85, after the pair achieved its lowest level during the trading session at 109.80, while achieving the highest at 111.25, knowing The pair concluded the trading last week at 110.93 levels, before it started the trading session on a falling price gap.

Technical analysis

The dollar rally against the recent bullish yen stopped at the resistance of the descending channel that appears in the picture, to keep the price holding its cohesion below it, which pushes the trading down again to make a bearish correction that begins its targets at 109.06 and extends to 107.55 after breaking the previous level.

From here, the bearish trend will be likely during the upcoming sessions, supported by the negative signal that appears through the stochastic indicator, noting that breaching 111.20 and holding above it will stop the bearish corrective scenario and lead the price to achieve more gains in the short and medium term.

The expected trading range for today is between 109.00 support and 111.20 resistance.

Expected trend for today: bearish.