USDJPY Bullish

Analysis Price: 145.91 (Updated: 17 May 2025, 13:36 UTC)

Comprehensive analysis for USDJPY showing predominantly bullish sentiment with 80% of traders in long positions. Market structure, technical patterns, and key levels examined across multiple timeframes.

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Signal Overview

Bullish High Confidence Low Risk

Market Consensus:

80% Long

20% Short

Valid Timeframes:

M15 H1 H4 D1

Signal Analysis:

The analysis indicates a high confidence bullish bias for USDJPY (signal strength: 59%). Supporting factors include: Technical patterns identified: Bullish Rectangle (H4); USD is showing relative strength against JPY (diff: 39%). Risk assessment for this trade is low. This signal is most valid on the M15, H1, H4, D1 timeframes.

Sentiment Analysis

LONG SHORT

51% 49%

Historical Sentiment (7 Days)

Sentiment Interpretation

Neutral sentiment with a balanced distribution between long and short positions. This suggests indecision in the market, which could precede a significant move once a clear direction emerges.

Support & Resistance Analysis

Resistance Levels

R1: 148.65 1.88% ↑

Analysis Price: 145.91

Support Levels

S1: 144.92 0.68% ↓

Market Regime:

Uptrend

Analyst Bias:

Unknown

Direction Probability:

60%

Price Position Analysis

Price is currently near support at 144.92 (0.68% below analysis price) with resistance at 148.65 (1.88% above). This position near support could present a potential buying opportunity with a favorable risk-reward ratio.

Chart Pattern Analysis

93%

Bullish Rectangle

Reliability:

93%

Detected: May 17, 03:48

Pattern Analysis Interpretation

Predominantly bullish patterns detected across timeframes, suggesting upward momentum. The most reliable pattern is a bullish Bullish Rectangle on the H4 timeframe with 93% historical reliability. This pattern is currently only confirmed on the H4 timeframe.

High Probability Zones

No high probability zones detected for USDJPY at this time.

Volatility Analysis

Select Timeframe:

Daily Range (pips):

0.7

Volatility Regime:

Normal

Volatility Level:

50%

10-Day ATR Trend

Volatility Interpretation (H1)

USDJPY is showing normal volatility (50 percentile) with an expected daily range of 0.7 pips. This represents average market conditions conducive to standard trading strategies. Standard position sizing and stop loss parameters are appropriate.

Correlation Analysis

Top Correlations with USDJPY

USDCHF

0.87

NZDUSD

-0.86

AUDJPY

0.81

EURUSD

-0.75

GBPJPY

0.73

Correlation Interpretation

Understanding how USDJPY correlates with other pairs can help with portfolio diversification and risk management. Strong positive correlations (above 0.7) indicate pairs that move similarly, while strong negative correlations (below -0.7) show pairs that typically move in opposite directions.

USDJPY shows strong positive correlation with: USDCHF, AUDJPY, GBPJPY. This means these pairs tend to move in the same direction. Trading in the same direction on multiple correlated pairs increases portfolio risk, while finding divergences between correlated pairs can highlight potential reversal opportunities.

USDJPY shows strong negative correlation with: NZDUSD, EURUSD. This means these pairs tend to move in opposite directions. Negatively correlated pairs can be useful for hedging strategies or to confirm signals (a buy signal in one pair would be supported by a sell signal in the negatively correlated pair).

Currency Strength Analysis

Select Timeframe:

USD

-0.24

Neutral

JPY

-0.39

Weak

Relative Strength:

0.15

Neutral Bias

Currency Strength Interpretation (M15)

USD and JPY show similar strength levels on the M15 timeframe, with a relative strength of 0.15. This indicates a neutral bias for USDJPY and suggests range-bound trading conditions may be more likely.

How to Use This Analysis

This comprehensive analysis provides multiple perspectives on USDJPY to help inform your trading decisions:

Sentiment Analysis: Use to understand market positioning and potential contrarian opportunities
Support & Resistance: Identify key price levels for setting stop losses and take profits
Pattern Analysis: Recognize technical formations that may indicate continuation or reversal
Volatility Analysis: Adjust position sizing and risk management based on current market conditions
Currency Strength: Compare the relative performance of individual currencies within the pair
Correlation Analysis: Understand how this pair moves in relation to others for portfolio diversification

For optimal results, consider how these different factors align. The strongest trading opportunities typically occur when multiple analytical tools show confirmation across different timeframes.