- The USD/JPY failed to gain traction despite rising US Treasury yields.
- USD/JPY Price Analysis: Remains upward biased, though a pullback toward 136.00 is on the cards.
The USD/JPY fell after testing the 20-day Exponential Moving Average (EMA) around 137.88 and dropped below the 137.00 mark in the North American session amid a risk-off impulse. At the time of writing, the USD/JPY is trading at 136.63, below its opening price by 0.84%, after hitting a high of 137.80.
USD/JPY Price Analysis: Technical outlook
From a daily chart perspective, the USD/JPY remains range-bound, within the boundaries of the 20-day EMA and the 200-day EMA, each at 137.88-135.14, respectively. The Relative Strength Index (RSI), at bearish territory, aims downward, while the Rate of Change (RoC) is almost flat, signaling that buying pressure has faded.
Short term, the USD/JPY one-hour chart suggests that buyers are taking a respite after hitting 138.17. The major dived towards the confluence of the 78.6% Fibonacci retracement and the 100-EMA around 136.60, appearing to find support. Nevertheless, if the latter is breached, a fall toward the S1 daily pivot at 135.96 is on the cards. Contrarily, if the USD/JPY rallies toward the 61.8% Fibonacci level at 136.96, a test of the 137.00 figure is likely. Break above will expose the December 13 daily high at 137.97, ahead of the 138.00 mark.
USD/JPY Key Technical Levels
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
