FXTM information and reviews
OctaFX information and reviews
XM information and reviews
FXCC information and reviews
Libertex information and reviews
FxPro information and reviews

USD/JPY remains well supported above 113.70 ahead of Fed decision

26 January 2022

USD/JPY recaptures 114.00 amid resurgent US dollar demand. Markets expect Fed to shift to the hawkish pivot, hinting at a March rate hike. 50-DMA is the level to beat for bulls while above the critical support at 113.72. USD/JPY is bouncing back above 114.00, having found fresh buyers once again near the 113.70 region. The latest uptick in the major could be associated with the resurgent demand for the US dollar across the board, as investors prefer holding the buck heading into the Fed’s interest decision, the first of 2022 and expected to be a hawkish one.

The US central bank is likely to hint at a March rate hike while expressing concerns over hotter inflation. The Treasury yields are also attempting a comeback amid hawkish Fed expectations, adding to the upside in the major.

The S&P 500 futures are up 0.88% on the day while the Euro Stoxx 50 Index is higher by 1.95% so far.

USD/JPY: Technical outlook

USD/JPY’s daily chart shows that the price has once again bounced from the two-month-old ascending trendline support at 113.72. The rebound needs acceptance above the horizontal 50-Daily Moving Average (DMA) at 114.30 to confirm a meaningful recovery. The next stop for bulls is seen at the January 20 highs of 114.54.

The 14-day Relative Strength Index (RSI), however, remains below the 50.00 level, indicating that any bounce is likely to remain shallow.

Daily closing below the abovementioned key support of 113.72 will trigger a fresh downswing towards the bullish 100-Daily Moving Average (DMA) at 113.35. That cap will be the line in the sand for the bullish traders.




The Yen hit new lows
The Yen hit new lows

USDJPY updated its 24-year highs and may continue rising. The Japanese Yen hit a new 24-year low against the USD. The current quote for the instrument is 136.25. The high in USDJPY...

22 Jun 2022

Japanese Yen Might Change the Trend
Japanese Yen Might Change the Trend

At the beginning of the new week, the Japanese yen against the US dollar is consolidating but looks quite weak yet. USD/JPY buyers are not gone: they are lying low, waiting for a good time to resume action...

21 Jun 2022

Yen is near new lows
Yen is near new lows

The Japanese yen against the US dollar has put falling on a pause, but this is temporary. The current quote is 134.66. Thus, the devaluation of the Japanese yen...

14 Jun 2022

Nothing can prevent the Yen from devaluating
Nothing can prevent the Yen from devaluating

After hitting a new 20-year low, USDJPY stopped. The Japanese Yen got even weaker against the USD. The current quote for the instrument is 133.82. A new high in USDJPY is at 134.56...

9 Jun 2022

USD/JPY: Dwindling bets for a drop to 126.00
USD/JPY: Dwindling bets for a drop to 126.00

The likeliness of USD/JPY to test the 126.00 region in the next weeks now appears diminished, according to FX Strategists at UOB Group Lee Sue Ann and Quek Ser Leang...

30 May 2022

USDJPY D1: The bears are gaining momentum
USDJPY D1: The bears are gaining momentum

The Yen on the D1 time frame was in an extended uptrend that lasted until the 9th of May when a last higher top was recorded at 131.338. A closer look at the Momentum Oscillator revealed...

24 May 2022

HFM information and reviews
IronFX information and reviews
FXCM information and reviews
Pepperstone information and reviews
NordFX information and reviews
LegacyFX information and reviews

© 2006-2022 Forex-Ratings.com

The usage of this website constitutes acceptance of the following legal information.
Any contracts of financial instruments offered to conclude bear high risks and may result in the full loss of the deposited funds. Prior to making transactions one should get acquainted with the risks to which they relate. All the information featured on the website (reviews, brokers' news, comments, analysis, quotes, forecasts or other information materials provided by Forex Ratings, as well as information provided by the partners), including graphical information about the forex companies, brokers and dealing desks, is intended solely for informational purposes, is not a means of advertising them, and doesn't imply direct instructions for investing. Forex Ratings shall not be liable for any loss, including unlimited loss of funds, which may arise directly or indirectly from the usage of this information. The editorial staff of the website does not bear any responsibility whatsoever for the content of the comments or reviews made by the site users about the forex companies. The entire responsibility for the contents rests with the commentators. Reprint of the materials is available only with the permission of the editorial staff.
We use cookies to improve your experience and to make your stay with us more comfortable. By using Forex-Ratings.com website you agree to the cookies policy.