USD/JPY Price Analysis: Dollar’s recovery attempt stalls at 104.95 former support

USD/JPY recovery from 10435 finds resistance at 104.95 previous support
The dollar remains trapped within a downtrend channel

Guillermo Alcala FXStreet

The US dollar’s reversal from weekly highs at 105.75 witnessed on Wednesday has been contained at 104.30 area on Thursday and the greenback attempted to pick up with amid a broad-based dollar strength although the pair was unable to regain previous support level turned resistance, right below 105.00

Dollar ticks up on risk aversion

The US dollar trimmed earlier losses on Thursday amid a generalized rush for safety after US President Trump crushed hopes of a US stimulus agreement before November’s election. Trump accused the Democrats on Twitter of not willing to reach an acceptable agreement which dampened investors’ optimism and offered some respite to a tumbling greenback.

Furthermore, the positive US Weekly Jobless Claims, which posted a larger than expected decline last week: 787K against market expectations of 860K offered further support for the US dollar.

USD/JPY capped below previous support at 104.90

USD/JPY’s upside attempt, however, has been tame, and the pair remains trading within a clear downtrend channel. Greenback's rebound from 104.35 low has found resistance right below 104.95/05 area, where the October 2 and 14 lows lie. If the pair manages to break that level, next resistance lies at 105.50/60 (October 21 high / 50-day SMA) before 106.10 (October 7 high).

On the contrary, a bearish reversal below October 21 low at 104.35 might find support at 104.00 (September 21 low) before heading to March 12 low at 103.10.

USD/JPY daily chart

Author

Guillermo Alcala

FXStreet

Graduated in Communication Sciences at the Universidad del Pais Vasco and Universiteit van Amsterdam, Guillermo has been working as financial news editor and copywriter in diverse Forex-related firms, like FXStreet and Kantox.

EUR/USD looks apathetic around 1.1770

EUR/USD comes under renewed pressure on Tuesday, deflating below the 1.1800 support and reversing two consecutive days of gains. The pair’s decline follows the persistent move higher in the US Dollar, as trade uncertainty dominates the sentiment ahead of President Trump’s SOTU speech.

GBP/USD regains 1.3500 and above

GBP/USD extends its advance for the third day in a row on Tuesday, this time retesting the area beyond the 1.3500 hurdle. Cable’s uptick comes despite decent gains in the Greenback and the dovish message from the BoE’s Bailey at the UK Parliament.

Gold appears offered around $5,150

Gold is giving back a good portion of the recent multi-day rally, receding to the $5,150 zone per troy ounce amid the decent bounce in the US Dollar and mixed US Treasuty yields. In the meantime, markets’ attention remain on upcoming comments from Fed speakers.

Crypto Today: Bitcoin, Ethereum, XRP come under renewed pressure amid ETF outflows, tariff uncertainty

Bitcoin, Ethereum and Ripple are trading under increasing selling pressure at the time of writing on Tuesday, as market participants navigate renewed tariff uncertainty. The Crypto King holds above $63,000, down 2% intraday from its $64,656 open.

The Citrini report: How a debatable AI narrative can shake Wall Street

That AI-related headline alone was enough to rattle investors.US stocks slid sharply on Monday after a widely circulated Citrini Research memo outlined a hypothetical “2028 Global Intelligence Crisis”, warning that rapid AI adoption could push US unemployment into double digits as early as by mid-2028.

XRP pressured by weak ETF flows and declining retail interest

Ripple (XRP) is edging lower, trading above its intraday low of $1.32 at the time of writing on Tuesday. The decline from its weekly opening of $1.39 reflects heightened volatility in the broader cryptocurrency market, accentuated by tariff-triggered uncertainty.