Forecast for USD / JPY pair on September 16, 2019

USD / JPY pair

Today, the Japanese yen opened as a safe haven with a 60-point decline gap in connection with the drone attack on oil rigs in Saudi Arabia over the weekend, primarily by the state-owned company, Saudi Aramco. We are not inclined to give this diversion a deeply negative outlook. Rather, we are waiting for the situation to calm down and the recovery of production volumes in Saudi Arabia, as well as the further growth of the USD/JPY pair. Also, US President Trump allowed selling oil from strategic reserves not only inside the United States but also on the foreign market.

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On the daily chart, the price has the tendency to recover to Friday levels and probably to work out the target of 108.35 on the line of the red price channel.

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The four-hour chart shows that the week opened exactly from the MACD line. Now, this line is acquiring strategic importance. The price drop below 107.50 opens a "bearish" goal to 107.18 (support of the green price channel on daily) and the MACD line of 106.50, also on the daily.

In the main scenario, growth is likely to continue to 108.35 or around 109.20 and 109.58.

The material has been provided by InstaForex Company - www.instaforex.com