Key Highlights
- USD/JPY regained traction and climbed above the 155.00 resistance.
- A rising channel is forming with support at 155.50 on the 4-hour chart.
- EUR/USD is struggling to clear the 1.1840 and 1.1860 resistance levels.
- Crude Oil prices trimmed some gains and corrected below $65.20.
USD/JPY Technical Analysis
The US Dollar formed a base above 154.00 against the Japanese Yen. USD/JPY started a steady increase above 154.80 and 155.00.
Looking at the 4-hour chart, the pair settled above 155.00, the 100 simple moving average (red, 4-hour), and the 200 simple moving average (green, 4-hour). There was a clear move above the 61.8% Fib retracement level of the downward move from the 157.66 swing high to the 152.27 low.
On the upside, the pair is now facing hurdles near 156.50. The first major resistance sits at 156.80. A close above 156.80 could open the doors for more gains. In the stated case, the bulls could aim for a move to 157.20. The main resistance sits near 158.00.
Immediate support could be 155.50. There is also a rising channel forming with support at 155.50. The first major area for the bulls might be near 155.00 or the 100 simple moving average (red, 4-hour).
The main support sits at 154.70, below which the pair might gain bearish momentum. In the stated case, it could even revisit 153.80 in the coming days.
Looking at EUR/USD, the pair started a recovery wave, but the bears seem to be active near the 1.1840 and 1.1860 levels.
Upcoming Key Economic Events:
- US Producer Price Index for Jan 2026 (MoM) – Forecast +0.3%, versus +0.5% previous.
- US Producer Price Index for Jan 2026 (YoY) – Forecast +2.6%, versus +3.0% previous.
- Chicago Purchasing Manager’s Index for Feb 2026 – Forecast 52.8, versus 54.0 previous.
