Is it possible that there will be a drastic price movement this week, a change in price direction will be displayed on the main charts?
Investors are now looking forward to the impact of the development of the United States (US) debt ceiling issue on the financial market at the beginning of the week, but it is possible that the more obvious impact will be a little late due to the fact that banks are still closed on Monday.
On Sunday, it was reported that a debt ceiling agreement was successfully reached by the White House and the Republic with the debt limit not set until January 2025.
Previously, the US dollar as a safe-haven currency strengthened due to market concerns if an agreement fails to be reached and the US faces a 'default' situation.
So is it after the agreement is reached, the US dollar will move weak or remain strong with the expectation that the US economy will survive the crisis?
As for the movement on the chart of the USD/JPY currency pair, can the previously maintained bullish trend change?
Until the end of last week, the price that continued to climb has reached the level of 140,700 for the highest record since last November 2022.
The bullish pattern has not been broken yet with the price also remaining above the support level of the Moving Average 50 (MA50) on the 1-hour time frame on the USD/JPY chart.
If the price continues to maintain its rise this week, the next target to reach is the 142.00 zone to continue hunting for a new record high.
However, be alert if the situation has started to change, seeing prices start to plummet and signal a change in trend.
If the price is also below the MA50 support, the 139,300 level will try to be penetrated before displaying a more clear bearish price movement.
The decline will continue towards the 137.00 zone and may continue further to a lower level if the US dollar significantly weakens in the market.
