The currency pair edges higher for a third session but stalls below key resistance amid fears of Japanese intervention.
The USD/JPY pair rose 0.11% to 159.38, extending a three-day advance as buyers maintain control despite lingering intervention risks from Japanese authorities. The 160.00 level remains a critical barrier, capping further gains for now.
Technical resistance at the 100-day Simple Moving Average (159.98) and neutral momentum from the Relative Strength Index (RSI) suggest hesitation among traders. A break above 160.00 could target the 50-day SMA at 160.92, while support lies at 159.00 and the 200-day SMA at 159.39.
The yen’s broader outlook hinges on Bank of Japan policy, US-Japan yield differentials, and risk sentiment, with traders monitoring for potential official action to curb further weakness.