JPY – 153-152.80 Key Support Zone, Buy USD/JPY on Dips Recommended

The USD/JPY pair confirmed a break above the key psychological level of 153 last Thursday, reaching as high as 154.44 before closing at 154, demonstrating strong upward momentum. This breakout signifies a continued continuation of the "sell the yen on rallies" trading logic, reinforcing the strength of the U.S. dollar.

Currently, the pair has stabilized above 153. Initial resistance for the yen is seen at 153.65, with secondary resistance at 152.80, which has now become a key support zone during pullbacks. If the pair continues to hold above 153, it is expected to further test the 154.50 and 156 levels. From a medium- to long-term perspective, as long as the fundamental environment remains unchanged, USD/JPY is expected to challenge important targets such as 158.75 and even 160.

Until a clear reversal signal emerges, the strategy remains to buy USD/JPY on dips, which can also be viewed as an opportunity to sell the yen on rallies. Any pullback to the 153-152.80 support zone, as long as it doesn't break below this range, can be considered a buying opportunity.

Forecast Range:
Resistance 154.79/155.00 – 156.80 – 157.20
Support 152.10 – 151.50 - 150.95 – 150.00 – 149.20

Key Focus:
Tuesday
Japan October S&P Global Manufacturing PMI Final (08:30)

Wednesday
Bank of Japan September 18-19 Meeting Minutes (07:50)

Thursday
Japan October S&P Global Services PMI Final (08:30)

Friday
Japan September All Household Spending (07:30)

Any questions? contact our professional analysis team