USD/JPY Daily Forex Analysis
Today’s Daily Forex Analysis places its spotlight on the USD/JPY pair. The Intraday Outlook for the pair remains bullish for now. An extended rally to retest the resistance at 145.64 is on the cards. Should the resistance at that level be convincingly broken, the whole rally from 172.24 could resume. The next milestone would be the 61.8% projection of 129.66 to 145.10 from 137.26 at 146.80. However, if the pair drops below the minor support at 140.72, it would complicate the outlook, forcing a shift in intraday bias to neutral.
Looking at the bigger picture in our Daily Analysis, we perceive the total price movements from 151.97 (the high of 2022) as forming a correctional pattern. The increase from 127.24 is considered the second wave of the pattern and could still be in motion. Nonetheless, in case of a prolonged surge, we expect substantial resistance from 151.97 to cap further advancement. Meanwhile, breaking the 137.26 support should confirm the start of the third wave, potentially heading to 127.24 (the low of 2023) or even lower.
USD/JPY Daily Analysis Summary
The USD/JPY pair exhibits an intraday bullish bias, with an expected rally to retest the 145.64 resistance. However, if the pair breaches the minor support at 140.72, it could neutralize the outlook. In a wider perspective, the price movements from 2022’s high of 151.97 appear to form a corrective pattern, with substantial resistance anticipated from 151.97.
Key Points
- The intraday bias for USD/JPY is bullish, with a target to retest the 145.64 resistance.
- Falling below 140.72 could neutralize the intraday outlook.
- Price actions from 151.97 (2022 high) are forming a corrective pattern, potentially heading to 127.24 (2023 low) if the 137.26 support breaks.
