FX.co ★ Forecast for USD/JPY on April 6, 2021

USD/JPY

The US dollar lost ground yesterday (dollar index -0.33%), which was reflected in the fall of the USD/JPY pair. The price went under the green line of the rising price channel, the price divergence with the Marlin oscillator was fully formed. If the dollar continues to strengthen and regains its lost positions today, then the pair will grow and, according to Marlin, the divergence will transform into a wedge (dashed line). Targets 111.39 and 112.16 will become relevant again.

If the dollar remains weak, it may reach the 109.37 level - the high on March 15. Settling below the level will lead to consolidation in the negative zone of the Marlin oscillator, and these are already fixed conditions for advancement to 108.40 and below to 107.35/50. Today is a decisive day for the dollar. We are waiting for the development of events.

Yesterday the MACD indicator line stopped the dollar from falling on the four-hour chart. Marlin shows a sentiment that it would turn to the upside. The price return to the consolidation range, above the low of the second day with consolidation, will keep the pair from falling.