FX.co ★ Nicos | USD/JPY

USDJPY H4 Chart Analysis: Our investigation focuses on the current state of the pricing behavior appraisal of the USD/JPY currency pair. The USD/JPY pair has broken through the 157.904 support level, suggesting that the downward trend may continue. The pair attempted an upward correction after a 99-point decline following the breakout, with buyers recovering some lost ground up to the resistance level of 157.904. Opening sell positions at this moment is advised, with the goal of a further slide toward the 153.374–154.374 range. Alternatively, the pair may continue to recover, aiming for the next resistance at 159.754, if it rises over the 157.904 barrier. On the hourly chart, an ascending channel that resembles a flag indicates that the downturn may continue. However, after bouncing off its lower barrier, the pair is now in a declining channel on the H4 chart. Buying with a goal of 159.064 would be a good strategy if the price breaks through 157.864. In the meanwhile, there are indications that the market may be getting ready to breach below the most recent low of 155.074. Bears are attempting to fully continue the downtrend on the 4-hour chart. Just above the most recent notable support level at 155.074, the price is situated at an angle of 1/12 and 74% of the support level at 156.804. This level is probably a major objective for traders who are pessimistic. The pair may become even more pessimistic after some consolidation. The Bank of Japan is unlikely to permit a large decline in the USD/JPY exchange rate, though. If the yen's value varies much, they have previously hinted at possible currency interventions that might damage it if it increases too much. Because the Bank of Japan might intervene around the 139 level by infusing billions of yen to weaken its currency, I don't think 129 is a realistic aim.