Economic Calendar
Continuing previous weeks trend, market activity may be considered low, however news regarding new Japanese elect may bring increased volatility in the shorter time frame.
USD/JPY hourly chart analysis
USD/JPY is in a powerfully bullish trend on the hourly chart, driven by a recent explosive gap and rally, and is currently consolidating near its highs with an extremely overbought RSI. The hourly chart shows a market completely dominated by buyers following a massive gap up and a steep, sustained rally that has pushed the price above the key 150.00 psychological level. This impulsive move is confirmed by a bullish "golden cross" of the moving averages and a Relative Strength Index (RSI) deep in overbought territory with a reading above 80.Hourly Chart
USD/JPY daily candle chart analysis
USD/JPY has experienced a massive bearish rejection from the top of its long-term range, with the daily chart showing a significant 'bull trap' or 'failed breakout' as the price falls sharply back into its multi-month consolidation zone. The pair remains locked in a multi-month sideways rectangle pattern between the major resistance near 148.70 and support at 143.90. The recent volatile spike above this range was aggressively reversed, leaving a long upper wick—a powerful bearish signal. This rejection was strengthened by the flat 200-day SMA, which acted as a formidable ceiling. The flat nature of all key moving averages confirms the market's long-term indecision, and the price is now falling back into this neutral cluster. Following this powerful rejection, the immediate outlook has turned bearish within the context of the range.
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Traders sentiment mixed
USD/JPY has no clear directional bias because it has been locked in a long-term sideways range on the daily chart, caught between major support at 143.90 and powerful resistance at 148.70.