Should we focus on the upside potential of the rising USD/JPY pair?

Should we focus on the upside potential of the rising USD/JPY pair?

12.02.2025

In yesterday’s U.S. currency trading, the U.S. dollar rose against the yen. The USD/JPY pair climbed from 151.655 to 152.596. On the hourly chart, it rose from the -2σ to the +3σ Bollinger Band.On the 4-hour chart, the candlesticks have already extended just below the 75-day moving average (MA), and on the daily chart, the price has rebounded and recovered from the 200-day simple moving average (SMA) line, which had appeared poised to be broken. We will be watching closely to see if the US dollar continues to rise following remarks from key officials during US trading hours.

Among European currencies, the euro rebounded against the U.S. dollar. The EUR/USD pair rose from 1.0292 to 1.0381, breaking through the resistance zone at the 200-period simple moving average (SMA) on the hourly chart. On the 4-hour chart, the pair has rebounded without testing the recent low, and on the daily chart, the RSI—which had fallen to 40—is recovering toward the midpoint. We will need to assess carefully whether the price action during European trading hours signals a shift in market sentiment.

Today’s economic indicators include the U.S. MBA Mortgage Applications Index at 9:00 PM, the U.S. Consumer Price Index at 10:30 PM, remarks by Bank of England MPC member Green and testimony by Fed Chair Powell before Congress at 12:00 AM, U.S. weekly crude oil inventories at 12:30 AM,at 2:00 AM: Remarks by German Bundesbank President Nagel and U.S. Atlanta Fed President Bostic; at 3:00 AM: U.S. 10-year Treasury auction; at 4:00 AM: U.S. budget balance; and at 7:05 AM the following day: Remarks by U.S. Federal Reserve Governor Waller. We will closely monitor the upside potential of the rising USD/JPY pair.

Past Market Reports

1. 17.04.2026New

   Will the market wait and see how much further the U.S. dollar can rise against the yen?

2. 16.04.2026New

   Will the weakening Swiss franc recover? Attention is turning to price movements during European trading hours.

3. 15.04.2026New

   Market participants are likely keeping a close eye on the upside potential of the euro, which has risen against the U.S. dollar

4. 14.04.2026New

   Should we keep an eye on remarks by key figures in the U.S. and try to gauge the direction of currency strength?

5. 13.04.2026New

   Market participants are likely watching for signs of a rebound in the Canadian dollar, which fell against the U.S. dollar following the release of employment figures

6. 10.04.2026

   Will the weakening Swiss franc continue to strengthen against the yen, or should we wait and see?

7. 09.04.2026

   Will the U.S. dollar, which has fallen against the yen, continue its downward slide, or should we wait and see how the market moves?

8. 08.04.2026

   Should we keep an eye on the upside for European currencies that have risen against the U.S. dollar?

9. 07.04.2026

   Market participants may be wary of further downside potential for the U.S. dollar, which has weakened amid concerns over the situation in Iran

10. 06.04.2026

    Investors should be wary of sudden spikes in volatility while major markets are closed