USD/JPY Rose As Yen Weaken Across The Board

Fundamental Analysis

* Yen Slide: The Japanese yen weakened against the U.S. dollar as a slight correction in 10-year Japanese bond yields reduced demand for the currency. Investors flocked to Japanese bonds after Bank of Japan (BoJ) Governor Kazuo Ueda stated on Friday that the central bank might expand its government bond-buying program if long-term interest rates surge. The yield on 10-year JGBs retreated to around 1.41% from 1.45%, the highest level in nearly 15 years. Meanwhile, the U.S. dollar rebounded strongly after hitting its lowest level in almost 12 weeks.

Technical Analysis

*Technical Breakout: USDJPY was traded higher following prior breakout above the previous resistance level 149.700. MACD which illustrate bullish momentum signal suggest the pair to like extend its rebound

* Resistance and Support: : If the bullish momentum persists, there’s a strong likelihood that the price will potentially head towards the level 152.000. Conversely, a potential reversal is also to be expected and the price could head towards the support level 147.150 after it breach below the level 149.700.

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Potential Risks

Looking ahead, traders will closely monitor key U.S. data, including CB Consumer Confidence, GDP, and the Fed’s preferred inflation gauge, the Core PCE Price Index, for further direction.

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Monitoring

Stay updated on US and Japan data, global market updates, central bank updates and any shifts in the US Dollar’s strength by following PU Prime’s market insights and daily financial news.

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Disclaimer: Trading derivatives involves high risks, and market conditions can change rapidly. The content is for informational purposes only and should not be considered as financial advice. Traders should conduct their own research and consider risk management strategies.