Key Highlights
- USD/JPY started a fresh increase above 151.50.
- It cleared a key bearish trend line with resistance at 150.85 on the 4-hour chart.
- EUR/USD is again moving below the 1.1620 support.
- The US CPI could increase 3.1% in Sep 2025 (YoY).
USD/JPY Technical Analysis
The US Dollar remained supported near 149.40 against the Japanese Yen. USD/JPY started a fresh increase above 150.00 and 150.50.
Looking at the 4-hour chart, the pair traded above a key bearish trend line with resistance at 150.85. It settled above the 151.50 resistance, the 200 simple moving average (green, 4-hour), and the 100 simple moving average (red, 4-hour).
There was a clear move above the 50% Fib retracement level of the downward move from the 153.27 swing high to the 149.37 low. On the upside, the pair faces resistance near the 153.27 high.
The next hurdle could be near 153.50. A close above 153.50 resistance might push the pair to 155.00. On the downside, the pair might find support at 152.00. The main support might be 150.85 and the 100 simple moving average (red, 4-hour).
A close below the 100 simple moving average (red, 4-hour) could start a major pullback toward 150.00. Any more losses might open the doors for a test of 148.80.
Looking at EUR/USD, the pair started a recovery wave, but the bears might remain active below the 1.1700 and 1.1720 levels.
Upcoming Key Economic Events:
- US Consumer Price Index for Sep 2025 (MoM) – Forecast +0.4%, versus +0.4% previous.
- US Consumer Price Index for Sep 2025 (YoY) – Forecast +3.1%, versus +2.9% previous.
