USD/JPY

The US dollar rose by 180 points against the Japanese yen yesterday due to the growth of stock indexes by 5-9%. This evening, the Federal Reserve's FOMC will officially announce easing measures at its scheduled meeting – describing in more detail the plan to buy back government and corporate bonds on its balance sheet. Financial easing measures can increase investors' interest in risk, respectively, and the growth of the USD/JPY pair. But while the crisis has not been overcome and investors have not yet evaluated the effectiveness of the proposed measures, we consider the growth of the markets as corrective. For the USD/JPY pair, the nearest correction target is the MACD line on the daily scale chart of 109.00.

However, the signal line of the Marlin oscillator found strong resistance from the zero line – the boundary separating the growth zone from the downward trend zone. This technical circumstance creates the risk of a downward trend reversal, that is, the completion of the correction at the current levels. In this case, the target will be the price channel line at 102.78. The growth condition will be the exit of the price above the upper line of the price channel (and above yesterday's high) 107.87.

In case of a downward scenario, the intermediate support will be the MACD line on the four-hour chart in the 104.70 area.