FX.co ★ Trading plan for 23/03/2018

Over the night the US Dollar was losing after the information was released that national security adviser McMaster was leaving the White House. In addition, China imposes tariffs on the US in retaliation for Trump's decision yesterday. The customs war struck the sentiment on the stock market. Japanese Nikkei fell 4.51%, in China Shanghai Composite loses 4.0%. Oil WTI rebounded to 65 USD, as the exchange of national security advisor raises concerns that the US may break the nuclear agreement with Iran. The nervousness of the financial markets is used by Gold, which jumped to 1343 USD.

On Friday 23rd of March, the event calendar is quite busy with the important data releases, especially during the US session, when Canadain Consumer Price Index data will be released and US Durable Goods Orders and New Home Sales will be posted as well.

USD/JPY analysis for 23/03/2018:

Trump's administration claims that McMaster's departure was with the consent of both parties, but the market, despite being sewn in, remained nervous, fearing chaos in the White House. John Bolton, US ambassador to the United Nations in the time of George W. Bush, who is the opinion of a controversial advocate of tough international politics, is to become a new advisor. According to Bloomberg, China is planning new measures to sanction trade with the US, including import duties, including for steel, aluminum, pork and wine.

Let's now take a look at the USD/JPY technical picture at the H4 time frame as this pair was affected the most by Trump decision.The market has made an ABCDE Triangle pattern in the zone between the levels of 107.91 - 105.25 and the price has managed to break out below the triangle lower line. So far the breakout was quite shallow with the local low at the level of 104.65, but the projected target is seen at the level of 103.13. The nearest technical resistance is seen at the level of 105.25.