USD/JPY: Downtrend Line Bounce & Outlook
- The USD/JPY pair has bounced back from the 23.6% Fibonacci retracement level,settling at 144.35.
- Sustained prices above this trend line could fuel further bullish momentum, potentially reaching the 38.2% Fibonacci retracement at 147.17 and then the 148.00 mark.
- Conversely, a dip below the short-term SMAs and the 144.35 support could intensify selling pressure, potentially driving the pair toward the 142.00-142.60 range.
USD/JPY rallies, testing a critical downtrend line. Our analysis reveals the pair’s bounce from the 23.6% Fibonacci retracement, now establishing support at 144.35. We examine potential bullish momentum, with targets at 147.17 and 148.00,and the key resistance at 148.65 as the 200-day SMA looms. Conversely, we explore the risks of a fall below support, perhaps driving the USD/JPY pair toward the 142.00-142.60 range. The RSI signals a mild bullish bias, while the MACD’s sideways movement suggests caution.with News Directory 3, you get real-time updates, and anticipate a confirmed break above the 200-day SMA. Discover what’s next for currency trading trends.
USD/JPY Recovers: Will Bullish Momentum Play a Key Role?
Updated June 26, 2025
The USD/JPY pair has bounced back from the 23.6% Fibonacci retracement level,settling at 144.35. This level aligns with a long-term descending trend line,now providing support amid reduced geopolitical tensions.
Sustained prices above this trend line could fuel further bullish momentum, potentially reaching the 38.2% Fibonacci retracement at 147.17 and then the 148.00 mark. A continued climb might target the 148.65 resistance and the 200-day SMA at 149.40, a significant barrier.
Conversely, a dip below the short-term SMAs and the 144.35 support could intensify selling pressure, potentially driving the pair toward the 142.00-142.60 range.
Technically, the RSI remains slightly above 50, indicating a mild bullish bias. The MACD is moving sideways above its signal and zero lines, suggesting a lack of strong directional momentum in the short term.
the USD/JPY outlook is cautiously bullish above the 144.35 support and the broken trend line. A break above the 200-day SMA would solidify the bullish case, analysts said.
What’s next
traders will be watching for a confirmed break above the 200-day SMA to signal a stronger bullish trend for the USD/JPY pair. Monitor key role of economic data releases and geopolitical developments for further direction.