Caution is advised regarding price movements in USD/JPY during U.S. trading hours, as resistance levels appear to be strengthening

Caution is advised regarding price movements in USD/JPY during U.S. trading hours, as resistance levels appear to be strengthening

29.08.2025

In the U.S. currency market yesterday, the U.S. dollar fell against the yen despite the upward revision of the U.S. second-quarter real GDP personal consumption (revised figure) from 1.4% to 1.6%. The USD/JPY pair fell from 147.479 to 146.658.The pair declined as it encountered resistance at the 20-period moving average (MA) on the hourly chart. On the 4-hour chart, a gradual decline along the 10-period MA is observed, and on the daily chart, the pair is teetering on the brink of breaking below the 75-period MA support line.

Despite the fact that the Eurozone’s August business sentiment index, released yesterday, fell to 95.2 from 95.8 the previous month—missing market expectations of 95.9—the euro rose slightly against the yen.The EUR/JPY pair rose from 171.120 to 171.791. The price recovered from the -3σ to the +2σ levels on the hourly Bollinger Bands. On the 4-hour chart, the price is finding support at the 200 EMA, while on the daily chart, it is forming lower highs just below the 20 MA.

Today’s economic indicators include Japan’s employment statistics and Tokyo Consumer Price Index at 8:30 a.m., Japan’s industrial production and retail sales at 8:50 a.m., Japan’s housing starts and Consumer Sentiment Index at 2:00 p.m., Germany’s employment statistics at 4:55 p.m., Germany’s Consumer Price Index at 9:00 p.m., Canada’s real GDP and U.S. personal income/expenditures, U.S. wholesale inventories, and U.S. PCE price index; at 10:45 PM, the U.S. Chicago PMI; and at 11:00 PM, the U.S. University of Michigan Consumer Sentiment Index. We should remain highly vigilant regarding price movements in USD/JPY during U.S. trading hours, as the currency pair faces resistance on the upside.

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