USD/JPY. Analysis and Forecast

[Ben Graham]

The USD/JPY pair closed this week above the psychological 155.00 level, and positive oscillators across all timeframes point to a continued upward bias. As a result, the pair has already reached the round 156.00 level. The momentum may continue higher toward the next major barrier at 156.60, above which spot prices will be ready to reach the round 157.00 level, heading toward the 157.45 level.

On the other hand, a corrective pullback will find strong support near the psychological 155.00 level, while further weakening could attract new buyers near the breakout point of the horizontal resistance at 154.50. This level will become a key reversal point; a break below it would allow USD/JPY to continue falling toward the round 154.00 level, on the way to the next significant support at 153.60 and the following round level at 153.00.

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