USD/JPY is at a crossroads, with the market’s reaction to the Federal Reserve likely to determine whether the pair pushes higher or retreats in the days ahead, suggests Fawad Razaqzada, technical analyst at Trading Candles.
Technical Analysis: USD/JPY at a Critical Juncture
Source: TradingView.com
From a technical perspective, USD/JPY is flirting with a major resistance zone near the 150 mark. This level, which once served as key support, has now become a pivotal barrier. A sustained break above 150 would likely shift momentum back toward the bulls, paving the way for a test of 151.25 and possibly the 200-day moving average near 152.
On the downside, if 150 holds firm, selling pressure could drag the pair lower, with immediate support seen at 149.20, followed by 148.10. A deeper correction could put last week’s low of 146.50 and the psychological 145 level back in focus.
