Welcome to our daily technical analysis of the financial markets, focusing today on USD/JPY and Crude Oil. Let's dissect the latest news, market trends, and crucial price levels to watch out for.
1. USD/JPY Analysis:
News Summary:
The Bank of Japan is expected to raise interest rates on Friday barring any market shocks when U.S. President-elect Donald Trump takes office, a move that would push short-term borrowing costs to levels not seen since the 2008 global financial crisis. This underlines the BOJ's determination to steadily push interest rates from the current 0.25% to close to 1%, a level that will neither cool nor overheat the Japanese economy. The BOJ is also expected to raise its price forecasts due to a wider range of wage growth.
Trend Analysis:
We can see USD/JPY H4 level encountered resistance and fell back and ran below the 48 hours moving average. In addition, the MACD energy column and double line shrink below the zero axis. The sell limit could be placed, stop loss is necessary.
Today's Key Price Levels:
Key Support Levels: [153.50]
Key Resistance Levels: [156.70]
Pivot Points [155.80]
2. Crude Oil Analysis:
News Summary:
Oil prices fluctuated violently at the beginning of the new year, which has a lot to do with Trump, even though he only officially took office as President of the United States on Monday. Crude oil prices continued to rise for the first time in months, with some investors blaming supply constraints stemming from U.S. President Joe Biden's decision to expand sanctions on Russia's energy industry. There is uncertainty about how Trump will respond to this move and how it will affect the balance of supply and demand once he takes office.
Trend Analysis:
We can see crude oil fell and rebounded and was running near the 48 hours moving average on H4 chart. On the other hand, the MACD double line and energy bar converge below the zero axis. The buy limit could be employed, stop loss is mandatory.
Today's Key Price Levels:
Key Support Levels: [76.50]
Key Resistance Levels: [81.00]
Pivot Points [77.40]
