The USD/JPY pair briefly surpassed the 148.00 level before reversing course, indicating seller dominance as per the RSI indicator. A drop below 146.27 could trigger additional losses, targeting levels at 145.44 and 144.28. On the other hand, if USD/JPY manages to reclaim 147.79, resistance levels are at 148.00 and potentially 149.77, with the 200-DMA at 151.46 as a longer-term target.
During the North American session, the Japanese Yen struggled to gain traction against the Greenback, with USD/JPY rising from a daily low of 146.62 to 147.28, showing a 0.47% increase.
Technical Outlook for USD/JPY Price Forecast
Despite a temporary uptick that pushed USD/JPY above 148.00, the pair’s overall trend remains bearish. The RSI indicator suggests momentum favoring sellers, with the pair tumbling below the Tenkan-Sen at 147.79. Further losses may occur if USD/JPY drops below the August 9 low of 146.27, targeting levels at 145.44 and 144.28. Conversely, clearing the Tenkan-Sen at 147.79 could pave the way for a rally towards resistance levels at 148.00 and potentially 149.77, with the 200-DMA at 151.46 as a key long-term target.
Analysis and Breakdown
The USD/JPY pair is currently facing a crucial juncture, with potential for further losses if key support levels are breached. Traders should closely monitor the pair’s movements and consider the RSI indicator for momentum insights. A drop below 146.27 could trigger a bearish trend, while a reclaim of 147.79 may lead to a bullish momentum. Understanding these technical aspects can help investors make informed decisions and manage their risk effectively in the forex market.