- USD/JPY flat as US Treasury yields fall.
- The technical outlook shows a bullish bias with a bullish RSI, but risks remain due to possible Japanese intervention.
- Key Resistance Levels: Psychological level at 160.00, yearly high at 160.32, further gains at 160.50 and 161.00.
- Key support levels: daily low at 158.75, Tenkan-Sen at 157.82, Senkou Span A at 157.53 and Kijun-Sen at 157.24.
He USD/JPY is sideways at the end of the North American session as US Treasury yields fall. Threats of intervention by the Japanese authorities prevented traders from pushing the exchange rate above 160.00. At the time of writing, the pair is trading at 159.62, unchanged.
USD/JPY Price Analysis: Technical Perspective
USD/JPY has a bullish bias after rising above the 159.00 figure, raising fears that the Japanese authorities or the Bank of Japan (BoJ) may intervene in the currency markets.
Momentum favors buyers, with the Relative Strength Index (RSI) remaining bullish, but downside risks remain. If USD/JPY breaks the psychological level of 160.00, the next resistance level would be the yearly high of 160.32. Further gains are anticipated above 160.50 and at 161.00.
On the contrary, if USD/JPY falls below the daily low of 158.75, it could pave the way to test key support levels. Next support would be the Tenkan-Sen at 157.82, followed by the Senkou Span A at 157.53, and then the Kijun-Sen at 157.24.
USD/JPY Price Action – Daily Chart
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
