**USD/JPY ANALYSIS**
**Fundamntal analysis**After an extremely bullish 2022/2023, price experienced a major correction for the last month of the year, mainly due to a very weak Dollar, as we all know, the Fed surprised the market anticipating not 1, but 2 rate cut during 2024.
The Bank of Japan stand still with their monetary policy, yes they do not like the rate to be over 150.00 but they haven’t done much to fix this. When the hype around rate cuts will cease, maybe accompanied by an higher inflation in January due to the holidays expenses, we can probably see this pair going back up again.
**Technical Analysis** The downtrend we talked about was not nearly as impulsive as the upward trend was, pointing toward a correction more then a full on reversal. Price has respected the first level of demand at 141.163 and pushed the price higher, but the supply placed at the 145.000 mark was stronger, in fact from there price created another lower low.
Now we don’t have any more supply left and price is free to move higher, the demand that was just hit at 140.500 was quite prominent, there should be enough to buy strenght now to take price to the next supply area in between 146.800 and 147.600
**Fundamntal analysis**After an extremely bullish 2022/2023, price experienced a major correction for the last month of the year, mainly due to a very weak Dollar, as we all know, the Fed surprised the market anticipating not 1, but 2 rate cut during 2024.
The Bank of Japan stand still with their monetary policy, yes they do not like the rate to be over 150.00 but they haven’t done much to fix this. When the hype around rate cuts will cease, maybe accompanied by an higher inflation in January due to the holidays expenses, we can probably see this pair going back up again.
**Technical Analysis** The downtrend we talked about was not nearly as impulsive as the upward trend was, pointing toward a correction more then a full on reversal. Price has respected the first level of demand at 141.163 and pushed the price higher, but the supply placed at the 145.000 mark was stronger, in fact from there price created another lower low.
Now we don’t have any more supply left and price is free to move higher, the demand that was just hit at 140.500 was quite prominent, there should be enough to buy strenght now to take price to the next supply area in between 146.800 and 147.600