Forecast for USD/JPY on September 23, 2020

USD/JPY

The dollar has grown by more than 50 points against the yen over the past day, the price is already attacking the resistance of the embedded price channel line on the daily chart. Main US stock indices gained more than 1% yesterday, the market is forming a correlation between the stock market's growth and the strengthening dollar, which creates the basis for the greenback's appreciation in the medium-term. The 103.75 target has not yet been reached.

analytics5f6ac157d911c.jpg

The price formed a strong convergence with the Marlin oscillator, its potential is enough to bring the price to the 107.35 target, set by the 76.4% Fibonacci level on the weekly timeframe. But for now, the closest target for the yen is the Fibonacci level of 100.0% at 106.00.

analytics5f6ac15aeb278.jpg

The price broke through the area above both indicator lines on the four-hour chart - the balance line and the MACD line. Marlin is actively growing in the positive zone. We are waiting for the price to settle above the embedded price channel line and continue growth.

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