The USD/JPY pair is currently stable, with the Japanese Yen (JPY) strengthening slightly against the weaker US Dollar (USD). This JPY strengthening halted the previous day's sharp decline, but the overall movement of USD/JPY is limited by conflicting fundamental factors.
1. Market Fundamental Factors
A. Support for the Japanese Yen (JPY)
BoJ Hawkish: The minutes of the Bank of Japan's (BoJ) September meeting released on Wednesday maintained market expectations for an imminent interest rate hike.
Intervention: Speculation that Japanese authorities might intervene to prevent further JPY weakness also offered support.
B. Limits to JPY Strength and Support for USD/JPY
BoJ Uncertainty: Investors remain uncertain about the exact timing of the BoJ's next interest rate hike. This uncertainty is fueled by expectations that the new Prime Minister, Sanae Takaichi, will pursue an aggressive fiscal spending plan and resist policy tightening.
Global Risk Sentiment: A moderate recovery in global risk sentiment tends to weaken the safe-haven JPY.
Strong USD: The US dollar (USD) held steady near its highest level since late May on the back of the US Federal Reserve's hawkish stance, which helped limit USD/JPY's decline.
2. USD/JPY Technical Analysis
USD/JPY has been struggling below the key resistance level of 154.40-154.45 for over a week. This zone serves as a pivot point that determines the direction of price movement.
A. Bullish Scenario ⬆️
Trigger for a Rise: A sustained breakout and acceptance above 154.40-154.45 will be a signal for bulls.
Next Target: Spot prices will aim to reclaim the psychological 155.00 level.
Continued Target: Continued buying will open the way to the 155.60-155.65 resistance level, before rising further towards the 156.00 level.
B. Bearish Scenario ⬇️
Initial Support: The 153.65 area is expected to offer support, followed by the overnight low around 153.00 - 152.95.
Selling Trigger: Acceptance below 153.00 could trigger technical selling.
Downside Target: The corrective decline will accelerate towards the intermediate support level of 152.55 - 152.50, and extend towards the 152.00 round number and last week's low at 151.55.
USDJPY remains bearish below the pivot zone, with the next directional move to be confirmed by a breakout from the current consolidation range.
1. Market Fundamental Factors
A. Support for the Japanese Yen (JPY)
BoJ Hawkish: The minutes of the Bank of Japan's (BoJ) September meeting released on Wednesday maintained market expectations for an imminent interest rate hike.
Intervention: Speculation that Japanese authorities might intervene to prevent further JPY weakness also offered support.
B. Limits to JPY Strength and Support for USD/JPY
BoJ Uncertainty: Investors remain uncertain about the exact timing of the BoJ's next interest rate hike. This uncertainty is fueled by expectations that the new Prime Minister, Sanae Takaichi, will pursue an aggressive fiscal spending plan and resist policy tightening.
Global Risk Sentiment: A moderate recovery in global risk sentiment tends to weaken the safe-haven JPY.
Strong USD: The US dollar (USD) held steady near its highest level since late May on the back of the US Federal Reserve's hawkish stance, which helped limit USD/JPY's decline.
2. USD/JPY Technical Analysis
USD/JPY has been struggling below the key resistance level of 154.40-154.45 for over a week. This zone serves as a pivot point that determines the direction of price movement.
A. Bullish Scenario ⬆️
Trigger for a Rise: A sustained breakout and acceptance above 154.40-154.45 will be a signal for bulls.
Next Target: Spot prices will aim to reclaim the psychological 155.00 level.
Continued Target: Continued buying will open the way to the 155.60-155.65 resistance level, before rising further towards the 156.00 level.
B. Bearish Scenario ⬇️
Initial Support: The 153.65 area is expected to offer support, followed by the overnight low around 153.00 - 152.95.
Selling Trigger: Acceptance below 153.00 could trigger technical selling.
Downside Target: The corrective decline will accelerate towards the intermediate support level of 152.55 - 152.50, and extend towards the 152.00 round number and last week's low at 151.55.
USDJPY remains bearish below the pivot zone, with the next directional move to be confirmed by a breakout from the current consolidation range.
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إخلاء المسؤولية
لا يُقصد بالمعلومات والمنشورات أن تكون، أو تشكل، أي نصيحة مالية أو استثمارية أو تجارية أو أنواع أخرى من النصائح أو التوصيات المقدمة أو المعتمدة من TradingView. اقرأ المزيد في شروط الاستخدام.