USD/JPY recovery attempt remains capped below 147.00

US recovery loses steam with bulls capped at 147.00
The cautious market mood keeps the safe-haven Yen near recent highs.
Hopes that the BoJ will exit its ultra-loose policy in 2024 are likely top support the Yen.

Guillermo Alcala FXStreet

The US Dollar is licking its wounds near three-month lows at 146.25, as the recovery attempts seen earlier on Monday have failed to extend above 147.00.

The yen refuses to give way amid cautious markets

Price action is moving within a narrow range, with buyers defending the 146.25/45 area as market sentiment falters. The risk sentiment seen on Friday, following Fed Powell's comments has turned into caution, as the market turns its focus towards a string of key US data, which will provide more cues into the Federal Reserve’s monetary policy.

Beyond that, the market is increasingly convinced that the BoJ will start exiting its ultra-loose monetary policy, which is cushioning the Yen’s downside attempts.

Technical indicators show the broader downside trend intact, with the 147.05 resistance level closing the path to last week's highs at 148.30 and 148.85. Supports are 146.50 and 145.95.

Technical levels to watch

USD/JPY

Overview
Today last price	146.65
Today Daily Change	-0.23
Today Daily Change %	-0.16
Today daily open	146.88

Trends
Daily SMA20	149.6
Daily SMA50	149.6
Daily SMA100	147.17
Daily SMA200	142.09

Levels
Previous Daily High	148.35
Previous Daily Low	146.66
Previous Weekly High	149.68
Previous Weekly Low	146.66
Previous Monthly High	151.91
Previous Monthly Low	146.67
Daily Fibonacci 38.2%	147.31
Daily Fibonacci 61.8%	147.7
Daily Pivot Point S1	146.24
Daily Pivot Point S2	145.61
Daily Pivot Point S3	144.56
Daily Pivot Point R1	147.93
Daily Pivot Point R2	148.98
Daily Pivot Point R3	149.62

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.

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