USD/JPY Price Analysis: 200-DMA prods bulls at three-month high amid overbought RSI

USD/JPY clings to mild gains near the highest levels since mid-December 2022.
Sustained break of 100-DMA favors bulls to keep the reins.
One-month-old ascending resistance line adds to the upside filters.

Anil Panchal FXStreet

USD/JPY buyers occupy the driver’s seat even as markets remain calm during early Wednesday, following a volatile end to Tuesday’s trading session. In doing so, the Yen pair makes rounds to the 137.40-50 area after rising to the highest levels since mid-December 2022.

It should be noted that the Yen pair’s latest run-up could be linked to a successful upside break of the 100-DMA hurdle. However, the 200-DMA level surrounding 137.45-50 restricts the quote’s immediate upside amid the overbought conditions of the RSI (14).

Even if the USD/JPY bulls manage to cross the stated key moving average, an upward-sloping resistance line from early February, near 138.35 by the press time, could challenge the pair’s further advances.

In a case where the Yen pair bulls ignore the RSI conditions and keep the controls past the aforementioned resistance line, the 50% Fibonacci retracement level of its downturn from October 2022 to January 2023, near 139.60, may act as an additional upside filter.

Meanwhile, the 38.2% Fibonacci retracement level and the 100-DMA, respectively near 136.70 and 136.25, restrict short-term USD/JPY downside.

Following that, a one-month-old ascending support line, near 135.45 at the latest, will be crucial for the bears to watch.

USD/JPY: Daily chart

Trend: Limited upside expected

Additional important levels

Overview
Today last price	137.34
Today Daily Change	0.20
Today Daily Change %	0.15%
Today daily open	137.14

Trends
Daily SMA20	134.57
Daily SMA50	132.22
Daily SMA100	136.38
Daily SMA200	137.4

Levels
Previous Daily High	137.2
Previous Daily Low	135.54
Previous Weekly High	137.1
Previous Weekly Low	135.26
Previous Monthly High	136.92
Previous Monthly Low	128.08
Daily Fibonacci 38.2%	136.56
Daily Fibonacci 61.8%	136.17
Daily Pivot Point S1	136.06
Daily Pivot Point S2	134.97
Daily Pivot Point S3	134.4
Daily Pivot Point R1	137.71
Daily Pivot Point R2	138.28
Daily Pivot Point R3	139.37

Author

Anil Panchal

FXStreet

Anil Panchal has nearly 15 years of experience in tracking financial markets. With a keen interest in macroeconomics, Anil aptly tracks global news/updates and stays well-informed about the global financial moves and their implications.

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