USD/JPY Price Forecast: Snaps three-day rally, tumbles below 148.50

Source Fxstreet
  • USD/JPY retreats after failing to extend its rally, despite US 10-year Treasury yield rising five basis points.
  • Technical outlook remains upward biased, with buyers eyeing a break above 149.14 and targeting 150.00 in the short 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.

The USD/JPY retreated after rallying for three straight days, even though the US 10-year Treasury noy yield rose five basis points. Risk aversion drives price action as the Middle East war escalates amid an exchange of fire between Israel, Hezbollah, and Hamas. At the time of writing, the pair trades at 148.12 after hitting a daily peak of 149.14.

USD/JPY Price Forecast: Technical outlook

The USD/JPY failed to extend its uptrend after piercing inside the Ichimoku Cloud (Kumo), which opened the door for further upside. Alongside that, the pair cleared the 50-day moving average (DMA) at 145.17, and since then, buyers have set their sights on 150.00.

Bullish momentum has faded, as shown by the Relative Strength Index (RSI) slope’s downward aiming. Still, the USD/JPY is upward biased in the short term.

 Given the backdrop, the USD/JPY first resistance will be the 149.14 daily high of October 7. Once surpassed, the next stop would be 150.00. If those levels are surrendered, bulls could challenge the 200-DMA at 151.09.

Conversely, if the pair drops below 148.00, bears can drag the exchange rate towards 147.00 as they would like to drive prices toward the latest key support, the bottom of Kumo at 146.87.

USD/JPY Price Action – Daily Chart

Japanese Yen PRICE Today

The table below shows the percentage change of Japanese Yen (JPY) against listed major currencies today. Japanese Yen was the strongest 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 of major currencies against each other. The base currency is picked from the left column, while the quote currency is picked from the top row. For example, if you pick the Japanese Yen from the left column and move along the horizontal line to the US Dollar, the percentage change displayed in the box will represent JPY (base)/USD (quote).

 

Disclaimer: For information purposes only. Past performance is not indicative of future results.
placeholder
When Will Gold Rise Under the Pressure of High Oil Prices? On April 8, spot gold ( XAUUSD) at one point surged past $4,800 per ounce, hitting a peak of $4,857; however, it fell back to $4,698 on April 9, wiping out all gains in just 48 hours. Thi
Author  TradingKey
7 hours ago
On April 8, spot gold ( XAUUSD) at one point surged past $4,800 per ounce, hitting a peak of $4,857; however, it fell back to $4,698 on April 9, wiping out all gains in just 48 hours. Thi
placeholder
WTI holds steady above $92.00 as Strait of Hormuz remains closed; bulls seem hesitant West Texas Intermediate (WTI) – the benchmark US Crude Oil price – trades with a mild positive bias during the Asian session on Friday, though it lacks bullish conviction amid hopes of Iran ceasefire stabilizing.
Author  FXStreet
16 hours ago
West Texas Intermediate (WTI) – the benchmark US Crude Oil price – trades with a mild positive bias during the Asian session on Friday, though it lacks bullish conviction amid hopes of Iran ceasefire stabilizing.
placeholder
Geopolitical Premium Strikes Back. Hormuz Strait Reopening Faces Changes, Bitcoin Barely Holds 70,000 Psychological LevelMiddle East tensions escalate ahead of negotiations, causing Bitcoin to pull back after a surge, with $70,000 becoming the watershed between bulls and bears.On April 9, unexpected develop
Author  TradingKey
Yesterday 09: 06
Middle East tensions escalate ahead of negotiations, causing Bitcoin to pull back after a surge, with $70,000 becoming the watershed between bulls and bears.On April 9, unexpected develop
placeholder
Strait of Hormuz Closes Again, When Will Global Energy Supply See Light Again?The outlook for navigation through the Strait of Hormuz remains clouded by uncertainty, as the newly reached ceasefire agreement has failed to bring stability to this global energy choke
Author  TradingKey
Yesterday 09: 05
The outlook for navigation through the Strait of Hormuz remains clouded by uncertainty, as the newly reached ceasefire agreement has failed to bring stability to this global energy choke
placeholder
Gold edges lower below $4,750 amid fragile Middle East ceasefire Gold price (XAU/USD) trades in negative territory around $4,705 during the early Asian session on Thursday. The precious metal edges lower amid a temporary two-week ceasefire between the US and Iran.   
Author  FXStreet
Yesterday 09: 04
Gold price (XAU/USD) trades in negative territory around $4,705 during the early Asian session on Thursday. The precious metal edges lower amid a temporary two-week ceasefire between the US and Iran.   
Related Instrument
goTop
quote