USD/JPY Technical Analysis: USD/JPY edges lower from weekly highs as the Petrodollar demand fades and President Trump signals a wind-down of hostilities. With Japan's energy dependency driving recent Yen weakness, all eyes turn to the Bank of Japan's April 28th meeting, where a rate hike to 1% remains heavily priced.
USD/JPY Price Forecast: Momentum cools as price slips below short-term average
U.S. and Iran have traded demands to end the war in the Middle East.
USD/JPY is turning lower after failing to sustain gains near a major resistance zone into the close of March, with the pair now marking a third consecutive daily decline. The pullback follows a strong advance off mid-month lows but comes amid growing signs of momentum divergence at recent highs.
USD/JPY softens as Middle East de-escalation hopes weigh on USD ahead of key US data
The pair hit a correction towards the target and support of 157.25-65 and managed to rebound again. The market is still holding a trading zone with resistances around 160.20 and 161.95 where each resistance could push for drop a toward the 157.25-65 zone.
USD/JPY Price Forecast: Corrects further below 20-day EMA as Iran conflicts de-escalate
USD/JPY slides below 159.00 as Iran peace hopes weigh on the US Dollar
Disappointing job market data and falling Treasury yields put pressure on the American currency.
USD/JPY slips as Yen gains on intervention threats and BoJ's hawkish tone
As the week progresses, USDJPY price action has started to show a notable decline in the short term, with the pair falling by approximately 0.7%, beginning to form a mild bearish bias on the chart. The selling pressure favoring the yen has been driven mainly by recent comments from the Bank of Japan, which have helped stabilize demand for the currency in the short term.
EUR/USD is edging higher, snapping a five-day losing streak, helped by a softer US dollar following reports that President Trump may be open to ending the Iran conflict without first requiring the reopening of the Strait of Hormuz. The pair is also trading cautiously ahead of a busy session on the economic calendar.