The USD/JPY pair continues to show a bearish technical outlook, remaining below the Ichimoku Cloud and the 200-day moving average (DMA). Despite a temporary recovery led by buyers, the Relative Strength Index (RSI) indicates seller dominance.
Key resistance levels to watch include 145.39 (Tenkan-Sen), 146.00, 146.92 (Senkou Span A), and 148.45 (Kijun-Sen). On the downside, a break below 144.00 could target 143.44 (August 26 low) with potential to test the monthly low at 141.69.
The USD/JPY pair saw modest gains during the North American session on Thursday, rising over 0.27% and trading near 145.00 at the start of Friday’s Asian session.
USD/JPY Price Forecast: Technical Analysis Breakdown
Despite a recent bounce, the USD/JPY pair remains on a downward trend after breaking below key technical levels. The RSI indicates that sellers are in control, although buyers have managed a short-term recovery.
If the pair clears the 145.00 level, it could open the door for further upside. Key resistance levels to watch include 145.39, 146.00, 146.92, and 148.45. On the downside, a break below 144.00 could lead to further declines towards 143.44 and 141.69.
Overall, the technical analysis suggests a bearish outlook for the USD/JPY pair, with key levels to watch for potential breakouts and breakdowns.