Japanese Yen Weekly Technical Outlook: Recent Yen Selloff May Hit Pause

Talking Points:

The Japanese Yen was once again the worst performing currency last week, but USD/JPY only gained +0.47% percent in the process.

– Buoyed risk appetite will favor the commodity currency crosses over the core developed currency crosses now that ‘hard Brexit’ fears have been stoked.

Retail traders continue to buy the Yen on dips, suggesting that price losses are still likely in the near-term.

See our long-term forecasts for the Japanese Yen and other major currencies with the DailyFX Trading Guides.

Technical Forecast for the Japanese Yen: Mixed

The Japanese Yen had another rough week, diving deeper into the red across the board in September: AUD/JPY is now leading the pack, up by +2.83% on the month after gaining +2.59% between September 16 and 21 (the best performance among the JPY-crosses). Similarly, EUR/JPY added +1.54% last week and is now up by +2.69% on the month.

The ongoing improvement in risk appetite across the board is helping keep the Yen down. Fresh all-time highs in US equity markets, a breakout in the Nikkei 225, and another drift higher in sovereign bond yields in

Article source: https://www.dailyfx.com/forex/technical/article/fx_technical_weekly/2018/09/22/Japanese-Yen-Weekly-Technical-Outlook-Recent-Yen-Selloff-May-Hit-Pause.html