USD/JPY, H4 22 March 2024
Despite the Bank of Japan's historic decision to end its negative rate policy with its first hike in 17 years, the Japanese yen remained weak against the backdrop of a widening yield differential between Japan and the US. With the Federal Reserve maintaining its benchmark federal funds rate and better-than-expected US economic data further widening the yield gap, the dollar continued to strengthen against the yen, favouring investments in the US.
USD/JPY is trading higher following the prior rebound from the support level. Suggesting the pair might experience technical correction.
Resistance level: 151.95, 153.10📉
Support level: 150.80, 149.35📈
Despite the Bank of Japan's historic decision to end its negative rate policy with its first hike in 17 years, the Japanese yen remained weak against the backdrop of a widening yield differential between Japan and the US. With the Federal Reserve maintaining its benchmark federal funds rate and better-than-expected US economic data further widening the yield gap, the dollar continued to strengthen against the yen, favouring investments in the US.
USD/JPY is trading higher following the prior rebound from the support level. Suggesting the pair might experience technical correction.
Resistance level: 151.95, 153.10📉
Support level: 150.80, 149.35📈