USD/JPY is trading around 156.350, but the yen looks more confident after the Bank of Japan’s December rate hike and discussions within the regulator about the need to continue gradual tightening. An additional cap on the pair’s upside comes from statements by Japan’s Ministry of Finance about its readiness to respond to excessive exchange-rate swings, which makes market participants more cautious.
On the US side, the key driver remains expectations for the Fed rate: after the December decision, investors are trying to assess how quickly the regulator is ready to ease conditions in 2026. Against this backdrop, the minutes from the Fed’s December meeting become the main event over the next 24 hours, as they can clarify the balance of arguments on inflation and the labor market and, accordingly, the outlook for yields.
At year-end, thin markets increase the risk of sharp spikes, especially in yen pairs, where the possibility of official intervention is taken seriously. If interest in the yen as a safe-haven currency persists and expectations of further normalization by the Bank of Japan remain, the fundamental bias shifts toward a lower USD/JPY. It is important to account for news-driven volatility and set position protection levels in advance.
Trading recommendation: SELL 156.350, SL 156.550, TP 155.550
On the US side, the key driver remains expectations for the Fed rate: after the December decision, investors are trying to assess how quickly the regulator is ready to ease conditions in 2026. Against this backdrop, the minutes from the Fed’s December meeting become the main event over the next 24 hours, as they can clarify the balance of arguments on inflation and the labor market and, accordingly, the outlook for yields.
At year-end, thin markets increase the risk of sharp spikes, especially in yen pairs, where the possibility of official intervention is taken seriously. If interest in the yen as a safe-haven currency persists and expectations of further normalization by the Bank of Japan remain, the fundamental bias shifts toward a lower USD/JPY. It is important to account for news-driven volatility and set position protection levels in advance.
Trading recommendation: SELL 156.350, SL 156.550, TP 155.550
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Feragatname
Bilgiler ve yayınlar, TradingView tarafından sağlanan veya onaylanan finansal, yatırım, alım satım veya diğer türden tavsiye veya öneriler anlamına gelmez ve teşkil etmez. Kullanım Koşulları bölümünde daha fazlasını okuyun.
More analytical information and promotions on FreshForex website cutt.ly/LrP6j9qD
Feragatname
Bilgiler ve yayınlar, TradingView tarafından sağlanan veya onaylanan finansal, yatırım, alım satım veya diğer türden tavsiye veya öneriler anlamına gelmez ve teşkil etmez. Kullanım Koşulları bölümünde daha fazlasını okuyun.