USD/JPY Price Analysis and Trade Forecast: Daily Trading Signal

Daily Price Outlook

- Bearish Sentiment: RSI at 42 indicates weak momentum, favoring a bearish bias below 150.76.

- Critical Levels: Support at 148.83 and resistance at 152.00 define key areas for directional moves.

- Trading Strategy: Sell below 150.427, targeting 148.806, with a stop-loss set at 151.429 to mitigate risk.

USD/JPY is trading at 149.81, down 0.48% during the session, reflecting bearish sentiment as the pair hovers below its pivot point at 150.76. Immediate resistance is located at 152.00, with additional barriers at 153.36 and 154.73.

On the downside, support is at 148.83, followed by key levels at 147.72 and 146.67, marking critical zones for potential bearish extensions.

Technical indicators suggest bearish momentum in the near term. The RSI stands at 42, highlighting a lack of upward momentum and a tilt toward oversold conditions.

The 50-day EMA, positioned at 150.02, aligns with the pivot point, acting as a dynamic resistance level. Failure to reclaim the pivot point could reinforce downward pressure, increasing the likelihood of a retest of lower support levels at 148.83.

The broader trend appears influenced by Federal Reserve policy expectations and yen-specific fundamentals, including intervention risks.

A break below 150.427 supports a bearish outlook, targeting 148.806, with a stop-loss set at 151.429 for risk management. Conversely, a sustained recovery above 152.00 may signal a reversal, though current market conditions suggest limited upside potential.

Traders should monitor macroeconomic developments and market sentiment closely as the pair consolidates near critical levels. The immediate bias remains bearish, with short positions recommended below 150.427.

USD/JPY - Trade Ideas

Entry Price – Sell Below 150.427

Take Profit – 148.806

Stop Loss – 151.429

Risk to Reward – 1: 1.6

Profit & Loss Per Standard Lot = +$1621/ -$1002

Profit & Loss Per Mini Lot = +$162/ -$100