USD/JPY Price Analysis: Advances to near 146.60 amid a momentum shift

USD/JPY could approach the psychological resistance at 147.00.
Technical indicators suggest a momentum shift towards a downward trend.
A break below the 146.50 level could lead the pair to test the psychological level at 146.00.

Akhtar Faruqui FXStreet

USD/JPY snaps its two-day losing streak on the weaker US Dollar (USD), trading higher around 146.70 during the European session on Friday. The psychological level at 147.00 appears to be the immediate resistance.

A breakthrough above this resistance level could reinforce the pair’s strength to reach the nine-day Exponential Moving Average (EMA) at 147.12. In case the USD/JPY pair surpasses the nine-day EMA, it could attempt to approach the psychological resistance zone around the level of 148.00 followed by the weekly high at 148.33.

The technical analysis of the 14-day Relative Strength Index (RSI) for USD/JPY suggests a bullish momentum as it is positioned above the 50 level.

However, the lagging indicator of the Moving Average Convergence Divergence (MACD) signals a shift in market sentiment, with the MACD line positioned above the centerline but displaying a divergence below the signal line. Traders may choose to wait for MACD confirmation for a clearer direction before making aggressive bets on the USD/JPY pair.

On the downside, the pair could encounter major support at the 146.50 level, following the psychological support at 146.00. A decisive break below this level could exert downward pressure on the USD/JPY pair, potentially reaching the 38.2% Fibonacci retracement at 145.53, aligned with the major support at 145.50.

USD/JPY: Daily Chart

USD/JPY: additional levels to watch

Overview
Today last price	146.61
Today Daily Change	0.28
Today Daily Change %	0.19
Today daily open	146.33

Trends
Daily SMA20	146.78
Daily SMA50	145.36
Daily SMA100	147.48
Daily SMA200	144.59

Levels
Previous Daily High	147.22
Previous Daily Low	145.9
Previous Weekly High	148.7
Previous Weekly Low	146.65
Previous Monthly High	148.81
Previous Monthly Low	140.81
Daily Fibonacci 38.2%	146.4
Daily Fibonacci 61.8%	146.72
Daily Pivot Point S1	145.74
Daily Pivot Point S2	145.16
Daily Pivot Point S3	144.42
Daily Pivot Point R1	147.07
Daily Pivot Point R2	147.81
Daily Pivot Point R3	148.39

Author

Akhtar Faruqui

FXStreet

Akhtar Faruqui is a Forex Analyst based in New Delhi, India. With a keen eye for market trends and a passion for dissecting complex financial dynamics, he is dedicated to delivering accurate and insightful Forex news and analysis.

AUD/USD consolidates above 0.7200; US NFP awaited

AUD/USD holds steady above 0.7200, near its highest level since mid-May, as bulls await the US NFP report for more cues on the Fed's policy path before placing fresh bets. Meanwhile, the recent decline in US bond yields keeps the US Dollar depressed near its lowest level in over a week and acts as a tailwind for the Aussie amid the RBA's hawkish tilt.

USD/JPY eyes August swing low, near 155.20 ahead of US NFP

USD/JPY retests the August monthly swing low during the Asian session on Friday as a more hawkish repricing of BoJ rate-hike bets and a suspected intervention continue to underpin the Japanese Yen. Meanwhile, the US Dollar is seen consolidating the previous day's heavy losses amid soft US bond yields, further weighing on the currency pair as traders keenly await the US NFP report.

Gold tumbles as blockbuster US NFP lift US Dollar, Treasury yields

Gold (XAU/USD) falls sharply on Friday, snapping a two-day recovery after the US Nonfarm Payrolls (NFP) report surprised strongly to the upside. The metal briefly climbed above $4,500 on Thursday, gaining nearly 2%, but has since erased a large part of that advance.

The week ahead: Dollar at a crossroads as CPI and ECB take centre stage

With the summer finally over, investors returned with a strong appetite for action. Following last week’s strong performance, the US dollar has taken a back seat so far this week, as oil, the yen and sovereign bond yields monopolized market interest.

CFTC report: Oil rebound offsets broader positioning retreat

The week in one sentence: Speculative positioning became more defensive in the week ending September 1. Yen short positioning recorded the largest deterioration, while Gold length also retreated. Oil buying returned alongside stronger prices, and Canadian Dollar and Euro positioning improved, although Euro flows diverged from weaker spot prices.

Diesel’s record $100 warning: The oil shock hiding in plain sight

The Oil market may look calmer than it did a few months ago, but diesel is sending a very different message. The US diesel crack spread, the premium of ultra-low sulphur diesel futures over WTI, recently surged above $100 per barrel for the first time, reaching an intraday record of just over $102.00.