Weekly bias in the USD/JPY continues to remain in the upside as 21 and 55 EMA are crossed northward in the 4 hours time-frame. A rejection of price was also seen on the 55 exponential moving average on the daily charts. With price also closing above the 21 EMA on the daily charts, i am expecting a retest of 110.000 psychological zone. Also MACD, RSI and SSRC(stochastic) oscillator are showing bullish continuation in the 4 hours time-frame.
In the week ahead investors will be looking ahead to the outcome of Wednesday’s Federal Reserve meeting amid expectations that it will wind up its asset purchase program. Investors will be scrutinizing the Fed statement for further indications on how soon interest rates could start to rise.