Jpy Bullish Against Us Dollar

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Jpy Bullish Against Us Dollar

Japanese Yen (Jpy) Bullish Against Us Dollar

Japanese Yen (JPY) is struggling to build on the mild bullish gains from the earlier sessions. As a result of this, the Japanese Yen (JPY) is having a hard time securing more gains on Monday's session.

For now, the Japanese Yen (JPY) is at its lowest levels, only seen during August. It seems that the JPY is under pressure due to the uncertainty over the BoJ's actions.

Boj Rate Hike Plan Remains Uncertain

There is no clear path on how the BoJ will handle its rate hike plans. On top of that, the risk-on environment has made it difficult for the JPY to attract capital as a safe-haven currency. At the same time, the US Dollar is bullish across the board, which has made it difficult for the Japanese Yen (JPY) to secure gains.

As far as the US Federal Reserve is concerned, the chances of an outsized rate cut are very slim. This is welcoming news for the US bond yields, which have recently undergone a new upswing.

That's a key reason why the DXY remains well-supported as it trades near its 2-month high. So, that's also a reason which is putting pressure on the JPY.

That's why it is safe to assume that traders will view any downside movement in the USD/JPY as a buying opportunity.

According to experts, a drop to the 149.00 will be viewed as a dip-buying opportunity by the traders. So, it is safe to assume that the area near the 148.50 0 149.00 will serve as a solid support for the USD/JPY.

On the other hand, a successful break of the 150.0 handle will provide a fresh trigger. This will invite more liquidity and take the pair towards 151.00 and 152.00.

On the USD/JPY D1 chart, all the oscillators are hovering in the positive territory and are not in the overbought area. So, that's also something that hints at a bigger upside for the USD/JPY.

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