Volatile moves in the FX pair saw it recover, closing near 157.200.
Moderate volatility in the FX market may be expected as the primary scenario, considering both recent U.S. economic data releases and the election results in Japan.
USD/JPY hourly chart analysis
USD/JPY is currently trading at 156.685 after a steady uptrend, but recent price action shows consolidation with a slight bearish bias. Resistance is near 157.500 and 157.850, while significant support lies at 155.100 and a major floor at 152.650. The price recently slipped below the 50 SMA, indicating weakening short-term momentum, and is testing the 100 SMA, a critical pivot point that will determine if the medium-term bullish trend holds or a deeper correction occurs. The 200 SMA is trending upward near 155.314, aligning closely with strong support at 155.100, marking a key buying zone. The RSI reads 44.46, reflecting neutral-to-bearish momentum with room to move lower before oversold, and its lower highs mirror the cooling price action.Hourly Chart
USD/JPY daily candle chart analysis
USD/JPY daily chart shows the price currently around 156.694, recovering after a recent dip, which suggests a return of bullish momentum. The 50-day simple moving average near the price acts as immediate resistance or support, while the 100-day simple moving average below it provides medium-term support and the 200-day simple moving average well below confirms a long-term bullish trend. Overall, the pair is in an uptrend since October 2025. The recent dip found support near the 100-day simple moving average, and the price is now testing the 50-day simple moving average resistance. Key support levels are around 154.3 at the 100-day simple moving average, 150.3 at the 200-day simple moving average, and lower horizontal levels near 148.7 and 146.45.
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Traders sentiment
USD/JPY is currently showing strong bearish sentiment, with only 26% of traders holding long positions and 74% short. Sentiment has shifted sharply toward selling, dropping 48% recently. The pair's price fell to 156.6770, down 0.34% from the previous session, reflecting Yen strength.