USD/JPY up 0.39%, still below key 152.00 level amidst ongoing bearish momentum.
Technical indicators point to downtrend; pair below 200-day SMA and Ichimoku Cloud.
Key supports at 150.00 and 148.64; breaching these could lead to significant downside.
The USD/JPY recovered some ground on Monday and finished the session on a higher note, registering gains of 0.39% but closing below the 152.00 figure. As Tuesday’s Asian session begins, the pair is virtually unchanged, but set to extend its losses as bulls failed to reclaim the 200-day Simple Moving Average (SMA) at 152.76
USD/JPY Price Forecast: Technical outlook
The USD/JPY downtrend remains after tumbling below the 200-day SMA and the Ichimoku Cloud (Kumo). Monday’s price action registered a daily high at 152.53 before slumping below the 152.00 mark, opening the door for further downside.
Momentum remains bearish, as the Relative Strength Index (RSI) depicts. Therefore, the USD/JPY might extend its losses.
The first support would be the 150.00 figure. A breach of the latter will expose the December 3 latest cycle low of 148.64, followed by the September 30 at 141.65.
However, if buyers reclaim 152.00, they must drive the USD/JPY above the 200-day SMA and the 153.00 mark.
USD/JPY Price Chart – Daily
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