Forecast for USD/JPY on November 6, 2020
Upon the general fall of the dollar, the yen strengthened yesterday by 100 points. The yen strengthened its correlation with the stock market, which rose by almost 2% on Thursday. It seems that the pair will continue to decline regardless of external circumstances, and this decline does not happen without the participation of the Bank of Japan. The strategic goals of this are still vague, but the nearest goal is clearly visible – 102.75, which is followed by 101.95.
On the four-hour chart (H4), the price has consolidated below the target level of 103.75 and is consolidating below it. The Marlin oscillator shows a reversal, however, not confidently. It is possible that the price will resume to consolidate, after which it will continue to decline.
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