The quotes of the USD/JPY currency pair continue to move within the framework of the development of growth and the formation of the reversal pattern “Head and Shoulders”. At the time of publication of the forecast, the US Dollar to Japanese Yen exchange rate is 143.58. Moving averages indicate the presence of a short-term bearish trend for the pair. Prices are again testing the area between the signal lines, which indicates pressure from sellers of the US Dollar and a potential continuation of the fall in prices from the current levels. As part of the forecast of the Japanese Yen exchange rate for October 3, 2024, we should expect an attempt to develop a bearish price correction and a test of the support area near the level of 143.85. Next, an upward price rebound and continued growth of the USD/JPY pair to the area above the level of 152.65.
USD/JPY Forecast Japanese Yen for October 3, 2024
An additional signal in favor of the rise of the USD/JPY currency pair will be a test of the support line on the relative strength indicator. The second signal will be a rebound from the upper border of the descending channel, which was broken through by buyers upwards. The growth option for the Dollar/Yen currency pair will be cancelled by a fall and a breakout of the 141.35 level. This will indicate a breakout of the support area and a continuation of the fall of the Dollar/Yen currency pair. In this case, we should expect the pair to continue to decline to the area below the 137.75 level. We should expect confirmation of the price growth with a breakout of the resistance level and the price consolidation above the 146.85 area, which will indicate a breakout of the upper border of the Head and Shoulders reversal pattern and the beginning of the implementation of the pattern with targets at the top.
USD/JPY Forecast Japanese Yen for October 3, 2024 suggests an attempt to test the support area near the 143.85 level. Then, continued growth of quotes to the area above the 152.65 level. A test of the trend line on the relative strength indicator will be in favor of the rise of the pair. The growth option will be cancelled by a fall and a breakout of the 141.35 area. This will indicate a breakout of the support level and a continuation of the decline in the pair with a potential target below the level of 137.75.
