- USD/JPY retreats after failing to extend its rally, despite the US 10-year Treasury yield rising five basis points.
- The technical outlook remains skewed to the upside, with buyers looking for a break above 149.14 and targeting 150.00 in the near term.
- A drop below 148.00 could see further downside, with key support at 147.00 and the bottom of the Ichimoku cloud at 146.87.
USD/JPY retreated after rising for three consecutive days, even as the US 10-year Treasury yield rose five basis points. Risk aversion drives price action as the war in the Middle East escalates amid an exchange of fire between Israel, Hezbollah and Hamas. At the time of writing, the pair is trading at 148.12 after reaching a daily peak of 149.14.
USD/JPY Price Forecast: Technical Outlook
USD/JPY failed to extend its uptrend after piercing inside the Ichimoku (Kumo) cloud, opening the door for further upside. Along with that, the pair surpassed the 50-day moving average (DMA) at 145.17, and since then, buyers have set their sights on 150.00.
The bullish momentum has faded, as shown by the downward slope of the Relative Strength Index (RSI). Still, USD/JPY has a bullish bias in the short term.
Given the context, the first resistance for USD/JPY will be the daily high of 149.14 on October 7. Once surpassed, the next target would be 150.00. If those levels surrender, the bulls could challenge the 200-day moving average (DMA) at 151.09.
On the contrary, if the pair falls below 148.00, the bears can drag the exchange rate towards 147.00, as they would like to take prices towards the last key support, the Kumo bottom at 146.87.
USD/JPY Price Action – Daily Chart
Japanese Yen PRICE Today
The table below shows the percentage change of the Japanese Yen (JPY) against major currencies today. Japanese Yen was the strongest currency against the New Zealand Dollar.
| USD | EUR | GBP | JPY | CAD | AUD | NZD | CHF | |
|---|---|---|---|---|---|---|---|---|
| USD | -0.02% | 0.24% | -0.37% | 0.36% | 0.52% | 0.56% | -0.48% | |
| EUR | 0.02% | 0.33% | -0.29% | 0.41% | 0.52% | 0.57% | -0.49% | |
| GBP | -0.24% | -0.33% | -0.68% | 0.10% | 0.20% | 0.28% | -0.70% | |
| JPY | 0.37% | 0.29% | 0.68% | 0.72% | 0.88% | 0.88% | -0.08% | |
| CAD | -0.36% | -0.41% | -0.10% | -0.72% | 0.19% | 0.18% | -0.84% | |
| AUD | -0.52% | -0.52% | -0.20% | -0.88% | -0.19% | 0.09% | -0.97% | |
| NZD | -0.56% | -0.57% | -0.28% | -0.88% | -0.18% | -0.09% | -1.00% | |
| CHF | 0.48% | 0.49% | 0.70% | 0.08% | 0.84% | 0.97% | 1.00% |
The heat map shows percentage changes for major currencies. The base currency is selected from the left column, while the quote currency is selected from the top row. For example, if you choose the Japanese Yen from the left column and move along the horizontal line to the US Dollar, the percentage change shown in the box will represent the JPY (base)/USD (quote).
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.
