Japanese yen

USD/JPY has risen by approximately 8% since late October, primarily favoring the US dollar and pushing the yen into a constant bearish zone.

Japanese Yen strength has taken a step back in December, and USD/JPY is testing a big spot of support as EUR/JPY tests a key spot of resistance.

Commodity FX pairs have failed to make much ground from the weaker yen, and with the RBA opening the door to cuts than I suspect the currency bounce on AUD/JPY could provide futile. And that there could be another large drop on the horizon..

US Dollar rebounded off technical support last week with USD/JPY now testing the November downtrend. Battle lines drawn on the USD/JPY short-term technical charts.

USD/JPY broke below a major support pivot this week with the bears now threatening a larger correction. Battle lines drawn on the weekly/daily technical charts.

USD/JPY set a lower-high last week even as DXY spiked up to a fresh two-year-high. And there’s now a short-term descending triangle formation setting up in the pair.

Yen weakness has hung around and USD/JPY and GBP/JPY both retain bullish appeal. But for those looking for Yen-strength, perhaps in anticipation of next month’s policy review from the BoJ, EUR/JPY could hold greater attraction.

US Dollar reversed off technical resistance last week with USD/JPY now testing initial trend support. Battle lines drawn on the USD/JPY short-term technical charts.

USD/JPY surged nearly 7% off the yearly low with a rebound off technical support now testing a major pivot zone. Battle lines drawn on the weekly/daily technical charts.

It’s been a fast start to Q4 for the US Dollar. The turn in EUR/USD was a big driver yesterday and today, USD/JPY has taken over with buyers continuing a strong bounce from the Monday low.

USD/JPY marked a weekly-reversal off key support last week with this week’s range now set just below resistance. Battle lines drawn on the weekly/daily technical charts.

USD/JPY has continued to bounce after the failed breakdown at 140.00 to start last week. But after trendline resistance has come into play, are sellers starting to take another swing?

USDJPY Outlook: Japan’s national core CPI has surged back near its 2024 highs, paving the way for potential further rate hikes, given the alignment of economic data with BOJ forecasts. Meanwhile, the upcoming outlook from Fed Chair Powell at the Jackson Hole Symposium could either reinforce or counter the current bearish sentiment on the dollar.

USDJPY Forecast: The USDJPY erased its 2024 gains and is poised to retest a key support level respected in December 2023.

It’s been a busy and messy week across global macro markets. The push points behind the tumult are parsed through in this piece.

Yen weakness has come rushing back in early-2024 trade, but U.S. and U.K. CPI could provide a jolt to FX trends in USD and GBP, which could produce some change in both USD/JPY and GBP/JPY.

Tonight’s Bank of Japan rate decision will be widely-watched for clues of any possible changes on the horizon. The BoJ knows this, so the big question is whether they touch the topic tonight or wait until 2024.