Key Highlights
- USD/JPY struggled near 164.00 and started a fresh slide.
- It traded below a major bullish trend line with support at 163.30 on the 4-hour chart.
- Bitcoin could gain strength if it settles above the $65,650 resistance.
- The US GDP grew 1.5% in Q2 vs 2.1% expected.
USD/JPY Technical Analysis
The US Dollar failed on more than two occasions near 164.00 against the Japanese Yen. USD/JPY reacted to the downside below 163.50.
Looking at the 4-hour chart, the pair dipped below the 76.4% Fib retracement level of the upward move from the 160.49 swing low to the 163.98 high. There was also a move below a major bullish trend line with support at 163.30.
The pair even settled below the 100 simple moving average (red, 4-hour) and the 200 simple moving average (green, 4-hour).
If there are more losses, the pair could find bids near the 1.618 Fib extension level at 158.35. The next major support could be near 158.00. The main support might be 157.40. A downside break and close below 157.40 might send the pair toward 156.80. Any more losses could open the doors for a test of 155.50.
On the upside, the pair could face resistance near 161.50. The next major resistance might be 162.25 or the 200 simple moving average (green, 4-hour).
A close above 162.25 could start another steady increase. In the stated case, the bulls could aim for a move to 163.00. Any more gains might open the doors for a test of 164.00.
Looking at Bitcoin, the price started a steady increase, but it must settle above $65,650 to gain bullish momentum.
Upcoming Key Economic Events:
- Chicago Purchasing Manager’s Index for July 2026 – Forecast 56.0, versus 56.7 previous.
- Michigan Consumer Sentiment Index for July 2026 (Prelim) – Forecast 54.0, versus 54.4 previous.
