- Early in Wednesday's trading session, the US dollar has been rather quiet compared to the Japanese Yen; it appears that we are just circling around in an attempt to work off some surplus froth.
- We are hovering around the 150 level, which indicates that the dollar/yen has not moved much throughout the Wednesday morning trading session.
- We do have a lot of support here, and I believe there are many places you may look for something worthwhile.
The first one is the level at 148.50 yen, which has historically shown resistance. The 50-day EMA is shown, and the level of 147.33 is located beneath it. With the majority of brokers, at least, this market continues to see favorable swap activity overall.
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As a result, a lot of people are just holding onto it and waiting to be paid. It's also probably important to remember that Wednesday is a double swap day for the majority of brokerages, making it very profitable to hold onto it for larger positions – assuming you are longer-term inclined overall.
Increase in Price of USD? Possible.
Thus, I do believe that there is a chance for a slight increase in price during the day, but there is also the risk of some commotion due to the release of the FOMC meeting minutes later in the day. However, I doubt there will be much of a surprise there, unless there was a really heated discussion about whether or not rates in America should begin to decline immediately. I'm not sure if that makes a big difference. The level of 152 yen is seen above. We've reached a noteworthy swing high there, and if we break through, I do believe that FOMO trading might become involved. In that situation, we could really see this pair fly, as it is known to do at times.
In any case, I believe that short-term pull banks will continue to draw a lot of interest in this market. Furthermore, you are not at all interested in purchasing Japanese yen given the Bank of Japan is nowhere near tightening its monetary policies. All in all, I believe that it's steady as she goes and that any downturn presents a possible opportunity to buy.
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