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02.04.2020 12:06 PM
USD/JPY and its crosses – prospects for April

USD/JPY

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The month of March will undoubtedly go down in history. In the future, many more will understand what was all this and who started it all. In the history of the yen, March is inscribed with the candle model "High Wave", which did not determine the winner in a long-term confrontation. The long shadows of the March candle and the preservation of the location of accumulated supports and resistances are unlikely to radically change the situation in April, so the work within the limits indicated by March is likely to continue. Now the main attraction is provided by the monthly cross (107.87 Kijun – 106.71 Tenkan). It is helped by the levels of the daily and weekly Ichimoku crosses. The breakdown of resistance and consolidation above opens up new opportunities for players to resume the fight for the key advantage, which can be designated as an exit to the bullish zone relative to the Ichimoku clouds on the daily (109.90-110.61), weekly (109.34) and monthly timeframes (110.25-111.73). A reliable result in this direction will form new upward benchmarks. In turn, the breakdown of support and care for the final levels of the current Ichimoku crosses (106.29 monthly + 105.40 weekly + 105.21 daily) will help to strengthen bearish sentiment. The next downward benchmarks will be the minimum extremes of 101.19 and 99.04, as well as support for the weekly goal of breaking the cloud of 95.74-92.39.

EUR/JPY

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Despite all the shocks of March, the players on the rise were not able to overcome the daily cloud (119.86-120.59), gain a foothold in the weekly cloud (119.61-123.00) and conquer the monthly short-term trend (119.34). As a result, these tasks remain relevant for April. The bears' interests are still focused on restoring the downward trend of 115.84-109.57 (minimum extremes) and working out the monthly goal for breaking the cloud (100.09-94.57).

GBP/JPY

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The events of March did not allow players to stay above the weekly cloud and in the zone of attraction of the monthly cross. However, the complete victory of the players on the downgrade also did not take place. March has a long lower shadow, while players on the rise are trying to return to the weekly cloud and achieve the elimination of the day's dead cross Ichimoku. As a result, the pair is now in the zone of accumulation of levels of various time intervals of 133.14-136.07. A reliable consolidation above can add optimism to the players to increase, whose next tasks will be to overcome resistance in the area of 138.93 (monthly medium-term trend + weekly cloud) and 142.45 (daily cloud is the final boundary of the monthly cross). Next, the pair will struggle with the resistance of the monthly cloud and work out the formed goals when the daily and weekly cloud breaks. A bearish scenario will return the pair to the current minimum (124.03) and the remaining targets for the breakdown of the Ichimoku cloud 121.70-118.79 (weekly) and 105.49-95.45 (monthly).

Ichimoku Kinko Hyo (9.26.52), Pivot Points (classic), Moving Average (120)

Evangelos Poulakis,
Analytical expert of InstaForex
© 2007-2024
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