FX.co ★ USD/JPY

USDJPY D1 Chart Analysis: The USD/JPY pair lost its intraday gains and dropped to the lower end of its daily range after the Bank of Japan's policy decision. The team's pricing has nearly reached its lowest point since May 2026 and is currently trading around 157.639. The USD/JPY pair's sharp intraday decline of more than 350 pips as investors consider the BoJ's dovish stance is mostly due to the start of strong US dollar selling. The USD continues its sharp losses and falls to a seven-month low after the release of softer-than-expected US macro data, which raised expectations for fewer rate increases by the Federal Reserve. According to the USD/JPY daily chart, the important test of the 200-day (EMA) and the day's high at 157.639 failed to sustain the upward trend. Additionally, the USD/JPY retraced below a four-month downward resistance trendline that crossed at about 157.639, continuing its downward trend down to 157.639, approaching the current spot price. Oscillators such as the RSI show an upward slope even though they are in the negative zone, indicating a possible turnaround. However, the Rate of Change (Roc) shows that purchasers are losing motivation when it hits zero. On the other hand, if the USD/JPY prints a daily close above 157.639, it may test the 157.639 level and open the door for higher. The USD/JPY path of least resistance is inclined negatively. If not, the USD/JPY would first find support at 157.639. For optimal trading opportunities, we must concentrate on each level of support and resistance.