As we expected in yesterday's review, the dollar has strengthened against the yen over the last few days. The optimism was not supported by the stock market, yesterday the pair closed near its opening level, and this morning it is dropping back to the target level of 109.85. Surpassing the support opens the second target at 109.20. Yesterday, the US stock index S&P 500 fell 0.13%, and this morning the Japanese Nikkei 225 is losing 0.45%.
The Marlin oscillator is turning down on a daily scale, but it is still in a rising trend zone. A further fall in stock markets will contribute to a downward trend reversal.
The price is also still in an upward position on the four-hour chart. The first sign of a decline will be the transition of the signal line of the Marlin oscillator to the zone of negative values. To do this, the price needs to fall by another 20 points, that is, just below 110.00. We are waiting for the main movement and the final resolution of the situation with the release of the European Central Bank and the commentary of the head, Christine Lagarde.The material has been provided by InstaForex Company - www.instaforex.com