USD/JPY
The yen experienced an overextension in its correction, reaching the target level of 154.56 and covering 193 pips in a single day on Wednesday. However, by Thursday morning, these gains were completely reversed by a sharp decline.
The price is now approaching the support level at 151.30. If this level is breached, it will pave the way for a further decline towards the next target at 149.38, which was the peak on August 15, 2024.
On the four-hour chart, the price has settled below the MACD indicator line, and the Marlin oscillator has entered bearish territory.
However, the price has not yet fallen below the balance line, represented by the red moving average. For a further confirmation of downward movement, the pair may need to slow its decline and wait for the indicator line to turn upward. This could happen by late evening, indicating that a significant downward move is likely either late Friday or early Monday morning.
