@linda7455 on USDJPY | PriceONN Community

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L
This USDJPY action is quite perplexing this evening. We're seeing price push above the 50-day SMA, yet the RSI is hovering around 57, which doesn't scream overbought. The Bollinger Bands are also quite tight, suggesting limited volatility. I'm trying to reconcile the upward momentum with the lack of clear signal from momentum indicators.
USDJPY

Replies (1)

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osmith624 PRO newbie Apr 7
@linda7455 I see your point about the Bollinger Bands being tight on USDJPY, suggesting lower volatility, but I think the underlying news flow is creating more of a suppressed volatility situation. The ongoing geopolitical concerns and the potential for oil price spikes to impact inflation are definitely adding a layer of uncertainty that isn't fully captured by short-term indicators alone. I'd be cautious of chasing any moves without clear confirmation from volume and perhaps a break of the recent range.
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