USD/JPY Price Analysis: Advances steadily yet consolidates below 158.00
- USD/JPY reaches daily high above 158.00, trading above key moving averages.
- Technical indicators show bullish momentum, with resistance at 158.25 and 158.44.
- Key support levels include 157.00, Senkou Span A at 156.16, and Kijun-Sen at 155.93.
The USD/JPY edges higher for the fourth straight day and registers modest gains of 0.08% after hitting a daily high above 158.00. Fears that Japanese authorities could intervene in the FX space keep the pair within familiar levels, trading at 157.85 at the time of writing.
USD/JPY Price Analysis: Technical outlook
The uptrend in the USD/JPY remains, though price action suggests that buyers remain cautious on Japanese intervention woes. The major is trading above the 50, 100, and 200-day moving averages (DMAs), further confirming the upward bias supported by the Relatives Strength Index (RSI), which shows momentum is bullish.
If USD/JPY climbs above 158.00, the next resistance level would be the 158.25 high hit on June 17, followed by the April 26 peak at 158.44. If those levels are cleared, the year-to-date (YTD) high of 160.32 would be next.
Conversely, sellers can challenge key support levels if USD/JPY drops below 157.00. The first one would be the Senkou Span A at 156.16, followed by the Kijun-Sen at 155.93. The next demand area would be the Senkou Span B at 155.52.
USD/JPY Price Action – Daily Chart
Author
Christian Borjon Valencia
FXStreet
Christian Borjon began his career as a retail trader in 2010, mainly focused on technical analysis and strategies around it. He started as a swing trader, as he used to work in another industry unrelated to the financial markets.
