USD/JPY: Range breakout risk grows – Societe Generale

Societe Generale analysts highlight USD/JPY pressing the upper end of its multi-year range, with resistance at 159.90 and key support at the 50-day moving average near 156.50. They note that a sustained move above 159.90 could open the way toward the 2024 high at 162 and projections near 163.70, keeping the broader uptrend in focus.

Pair tests multi‑year range ceiling

"USD/JPY is challenging the upper end of its multi‑year range at 159.50/159.90, which serves as interim resistance. "

"The recent advance has paused, with the 50‑DMA at 156.50 acting as near‑term support. It will be important to observe whether USD/JPY can achieve a breakout from this range."

"A move beyond 159.90 may result in an extended up move; next objectives could be located at the 2024 high near 162 and projections near 163.70. Defence of the 50‑DMA at 156.50 will be crucial for continuation of the uptrend."

"Spot mildly bid as dollar holds edge on ME uncertainty. Support 157.50, resistance 159.90."

"BoJ minutes flag yen weakness, need for timely rate hikes and rising yield curve risks."

(This article was created with the help of an Artificial Intelligence tool and reviewed by an editor.)