Weekly Analysis: Will USDJPY reach the bottom of the downtrend channel?
In late 2016, the USDJPY entered the long-term bearish channel after hitting 118.66 and fell to the bottom of the channel at 101.18. Also, from early July 2020 to January 29, the USDJPY entered a medium-term downtrend channel in which the pair moved to a moving average after breaking the channel ceiling. USDJPY is supported by the 105.00 trend rate and has reached the partial resistance of 106.75 after breaking the average of 50.
In this week's trading, if the USDJPY faces buying pressures and crosses the above resistance level of 106.75, the market will move up to the long-term average of 200 at the trend level of 108.00 and then the long-term downtrend channel.