Yen Divergence: USD/JPY, GBP/JPY, AUD/JPY Send Mixed Signals
The Japanese yen's impact on various currency pairs is causing some divergence in technical signals. The USD/JPY and GBP/JPY are stabilizing after recent declines, but both still face nearby resistance levels.
The AUD/JPY, however, looks less convincing with downside momentum keeping the March low and lower support levels in focus.
According to FOREX.com's analysis, USD/JPY is showing signs of a near-term top, but price action this week suggests it could recoup some losses. The 200-day EMA and 50-day EMA are capping prices as resistance, indicating that the market may be in for some 'scrappy trade.'
In contrast, GBP/JPY is hinting at a swing low with a bullish outside day forming around the February and September lows. However, the rally has stalled just beneath the weekly pivot point, suggesting a pullback could be due.