Market Analysis: USD/JPY Shows Weakness
USD/JPY declined below 147.00 and is currently consolidating losses.
Important Takeaways for USD/JPY Analysis Today
– USD/JPY is trading in a bearish zone below 147.00.
– There is a short-term bearish trend line forming with resistance at 146.65 on the hourly chart.
USD/JPY Technical Analysis
On the hourly chart of USD/JPY, the pair started a steady decline from 148.00. The US Dollar gained bearish momentum below 147.50 against the Japanese Yen.
The pair even settled below 147.20 and the 50-hour simple moving average. There was a spike below 146.25 and the pair traded as low as 146.21. It is now consolidating losses with a bearish angle. Immediate resistance on the USD/JPY chart is near the 23.6% Fib retracement level of the recent decline from the 148.07 swing high to the 146.21 low at 146.65.
There is also a short-term bearish trend line forming at 146.65. The next resistance for the bulls could be near the 50% Fib retracement at 147.15.
If there is a close above the 147.15 level and the hourly RSI moves above 50, the pair could rise toward 147.65. The next key area of interest is near 148.05, above which the pair could test 148.50 in the coming days.
On the downside, the first major support is near 146.20. The next key zone is near 145.80. If there is a close below 145.80, the pair could decline steadily. In the stated case, the pair might drop toward 145.00.
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