Daily Forex Analysis – USD/JPY
The USD/JPY currency pair continues to exhibit an upward intraday bias, with minor support remaining firm at 149.89. As a segment of the larger upward movement from the level of 127.24, the currency pair is anticipated to aim next for the 151.97 medium-term resistance mark. Should there be a fall below the minor support of 149.89, the immediate bias would turn neutral, potentially leading to some market consolidations. Yet, the short-term outlook is likely to stay predominantly bullish as long as the pair holds above the 147.32 support level, even if there’s a substantial pullback.
Expanding our scope, the vigorous ascent from 127.24 might still be interpreted as a part of a larger corrective structure originating from the 2022 peak of 151.97. If the pair faces rejection at this level and subsequently breaks below the converted support at 145.10, it would be an early indication of the commencement of the third leg of this corrective pattern. Nevertheless, a robust and sustained movement above 151.97 would solidify the trend, confirming the continuation of the long-term upward trajectory.
Analysis Summary
Currently, the USD/JPY pair is progressing with a bullish short-term outlook, holding strong above 149.89 and targeting 151.97. This upward momentum is part of a larger pattern, potentially indicating a more significant corrective phase. The key lies in whether the pair can sustain beyond 151.97 or retreat, marking a new phase in the trend.
Key Points
- USD/JPY bullish above 149.89, eyeing 151.97.
- Neutral bias on a drop below 149.89.
- Long-term trend confirmation above or reversal below 151.97.
