FX.co ★ remington.kihn | USD/JPY

Currency pair USDJPY. On the weekly chart, the wave structure is forming an upward trend, with the MACD indicator in the overbought zone. I still expect the price to aim for a retest of the 2024 high, entering above the 161.85 level. However, this move did not happen, as we saw a pullback after slightly surpassing the 2025 high. The pullback retraced to the 38.2 Fibonacci level overlaid on the uptrend. There was a signal for an upward move from the CCI indicator - a bullish convergence that worked well. We retested this year's high, and there is little doubt that the price will continue towards the indicated high. However, there is a bearish divergence on the MACD indicator. Following this signal, there was a slight pullback and a limited upward movement stopped by the ascending support line. Enough sellers gathered, the decline halted, and the uptrend resumed, heading towards the 2024 high. The 2024 high is not only the high of that year but also a historical high in the terminal's visible history. It may be considered for a downward move to attempt a correction. Other major pairs like the Euro and the Pound against the Dollar have shown weakness and are inclined to further decline. Therefore, an upward continuation is expected here as the opposing pair. Until the price breaks above the high on lower timeframes, only buying formations are considered. Anything for sale, no matter how attractive, should be skipped until the high is updated. It is said that Japan does not need to weaken its currency, and they are prepared to resist if the weakening trend continues. In the second half of May, the price did not move actively compared to the first half, but the desire for further growth remains. Positive data for the US Dollar released on Friday pushed the dollar higher.