USD/JPY Price Analysis: Yen pares BoJ Minutes-led gains below 135.00 as 50-SMA prods bulls

USD/JPY holds lower ground near intraday low after reversing from 50-SMA.
61.8% Fibonacci retracement level restricts immediate downside ahead of six-week-old support line, 200-SMA.
Multiple hurdles toward the north stand tall to challenge Yen pair buyers past 50-SMA, oscillators favor further upside.

Anil Panchal FXStreet

USD/JPY bulls struggle to keep the reins after snapping three-day downtrend the previous day. That said, the Yen pair retreats to 134.90 during early Monday, following an initial run-up to prod the 50-SMA hurdle, favored by the March month’s Monetary Policy Meeting Minutes from the Bank of Japan (BoJ).

Also read: BoJ Minutes: Several members said must be vigilant to risk inflation may accelerate more than expected

Even so, the Yen pair remains above the 61.8% Fibonacci retracement level of its March month downside, near 134.75, which in turn keeps the buyers hopeful. Adding strength to the upside bias are the bullish MACD signals and the near-50 RSI (14) line suggesting a continuation of the latest rebound from an upward-sloping support line from late March.

With this, the USD/JPY bulls appear well-set to cross the 50-SMA hurdle surrounding 135.25. However, lows marked during early March around 135.30-40 can challenge the pair’s further upside.

Also acting as the upside hurdle are the multiple levels around the 137.00 round figure, as well as double tops marked near 137.80-90. Furthermore, the 138.00 threshold acts as the last defense of the USD/JPY bears.

On the contrary, a downside break of the aforementioned support line, close to the 134.00 round figure, isn’t an open welcome to the Yen pair bears as the 200-SMA level of 133.40 can act as an additional filter to the south.

USD/JPY: Four-hour chart

Trend: Further upside expected

Additional important levels

Overview
Today last price	134.84
Today Daily Change	0.01
Today Daily Change %	0.01%
Today daily open	134.83

Trends
Daily SMA20	134.41
Daily SMA50	133.88
Daily SMA100	132.84
Daily SMA200	136.99

Levels
Previous Daily High	135.12
Previous Daily Low	133.88
Previous Weekly High	137.78
Previous Weekly Low	133.5
Previous Monthly High	136.56
Previous Monthly Low	130.63
Daily Fibonacci 38.2%	134.65
Daily Fibonacci 61.8%	134.36
Daily Pivot Point S1	134.1
Daily Pivot Point S2	133.37
Daily Pivot Point S3	132.86
Daily Pivot Point R1	135.34
Daily Pivot Point R2	135.85
Daily Pivot Point R3	136.58

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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