empty
20.11.2024 04:36 PM
USD/JPY. Analysis and Forecast

This image is no longer relevant

Today, the Japanese yen continues its steady intraday decline against the US dollar, pushing the USD/JPY pair to a new weekly high. This occurs amid uncertainty surrounding the timing of the Bank of Japan's next interest rate hike.

Additionally, recovering yields on US Treasury bonds are boosting the US dollar, further contributing to the outflow of funds from the lower-yielding Japanese currency. Moreover, the generally positive risk sentiment undermines the yen's position as a safe-haven currency.

All fundamental factors suggest that the USD/JPY pair favors an upward trajectory. However, the possibility of intervention may limit the Japanese yen's losses ahead of speeches by influential FOMC members.

From a technical perspective, the strong overnight rebound of the USD/JPY pair indicates that the recent corrective decline from the multi-month high has run its course. Furthermore, the continued rise in the exchange rate, along with positive oscillators on the daily chart, supports the outlook for further dollar strength in this pair. The sustained price strength and a move above the key level of 155.00 confirm the positive forecast for the currency pair. Prices may then rise to the intermediate resistance at 155.70 en route to the psychological level of 156.00. Momentum could extend further, retesting the multi-month high in the area of 156.75.

On the other hand, a drop below the key level of 155.00 would encounter strong support in the area of 154.40–154.35 before the next key level at 154.00. Following that is the minimum of yesterday's session, with minor consolidation in the 153.85 level. Below that, the psychological level at 153.00 and subsequent support at 152.60 come into play. Failure to defend these support levels could lead the USD/JPY pair to decline toward the critical 200-day simple moving average (SMA).

Irina Yanina,
Analytical expert of InstaForex
© 2007-2025
Select timeframe
5
min
15
min
30
min
1
hour
4
hours
1
day
1
week
Earn on cryptocurrency rate changes with InstaForex
Download MetaTrader 4 and open your first trade
  • Grand Choice
    Contest by
    InstaForex
    InstaForex always strives to help you
    fulfill your biggest dreams.
    JOIN CONTEST

Recommended Stories

What to Pay Attention to on March 12? A Breakdown of Fundamental Events for Beginners

Very few macroeconomic events are scheduled for Wednesday. The only notable event is the U.S. inflation report, which currently holds little significance, much like other economic reports. The market continues

Paolo Greco 06:03 2025-03-12 UTC+2

GBP/USD Pair Overview – March 12: The Wealth of the U.S. According to Donald Trump

The GBP/USD currency pair began a new wave of upward movement on Tuesday, despite the absence of specific reasons for this trend. There were no significant events occurring

Paolo Greco 02:25 2025-03-12 UTC+2

EUR/USD Pair Overview – March 12: And This Is Just the Beginning...

The EUR/USD currency pair resumed its upward movement on Tuesday. The new week has just started, and there haven't been any significant macroeconomic data releases yet, yet the dollar

Paolo Greco 02:25 2025-03-12 UTC+2

The Dollar is Running, Heels Flashing

What is better for the euro: the decline of U.S. economic and dollar supremacy or a "Sputnik moment" in Germany? Berlin's refusal to use the fiscal brake resembles launching

Marek Petkovich 23:44 2025-03-11 UTC+2

Commodity Currencies Remain Under Growing Pressure Despite Overall Dollar Weakness. AUD/USD Analysis

The tension caused by the new U.S. administration's aggressive efforts to revise tariffs has also affected Australia. According to NAB, business conditions showed slight improvement in February, with modest increases

Kuvat Raharjo 23:43 2025-03-11 UTC+2

DXY: Can the Dollar Recover Anytime Soon?

The U.S. Dollar Index (DXY) is struggling to capitalize on the modest gains from the previous day, attracting new sellers today. At the moment, the index is trading near 103.60

Irina Yanina 10:45 2025-03-11 UTC+2

Recession Fears Weigh on the U.S. Stock Market (Expect Further Decline in CFD Contracts #NDX and #SPX)

On Monday, the U.S. stock market plunged, dragging down European trading platforms and Asian markets in early Tuesday trading. Trump's trade wars remain a central theme, fueling uncertainty among investors

Pati Gani 10:05 2025-03-11 UTC+2

WTI - West Texas Intermediate: Oil Price Recovery Remains Limited

Oil prices are making attempts at recovery from their lowest levels since September 2024. However, this rebound is unlikely to be sustained in the near term. Investors remain concerned about

Irina Yanina 09:22 2025-03-11 UTC+2

Markets Do Not Forgive Betrayal

The S&P 500 sell-off accelerated amid the White House's indifference to a potential economic downturn. The broad stock index tumbled as Donald Trump refused to rule out a U.S. recession

Marek Petkovich 09:00 2025-03-11 UTC+2

What to Pay Attention to on March 11? A Breakdown of Fundamental Events for Beginners

On Tuesday, there are few notable macroeconomic events scheduled. The most significant report is the U.S. JOLTs job openings data, but it is released with a considerable

Paolo Greco 05:54 2025-03-11 UTC+2
Can't speak right now?
Ask your question in the chat.
Widget callback
 

Dear visitor,

Your IP address shows that you are currently located in the USA. If you are a resident of the United States, you are prohibited from using the services of InstaFintech Group including online trading, online transfers, deposit/withdrawal of funds, etc.

If you think you are seeing this message by mistake and your location is not the US, kindly proceed to the website. Otherwise, you must leave the website in order to comply with government restrictions.

Why does your IP address show your location as the USA?

  • - you are using a VPN provided by a hosting company based in the United States;
  • - your IP does not have proper WHOIS records;
  • - an error occurred in the WHOIS geolocation database.

Please confirm whether you are a US resident or not by clicking the relevant button below. If you choose the wrong option, being a US resident, you will not be able to open an account with InstaForex anyway.

We are sorry for any inconvenience caused by this message.