USD/JPY Price Analysis: Retraces below 136.00 as bulls take a breather

USD/JPY Price Analysis: Retraces below 136.00 as bulls take a breather

Time Stamp: February 28, 2023 2:26 PM
Source Node: 1983969

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  • USD/JPY hovers at around 136.00, an essential level for bulls to extend their gains.
  • A bullish resumption would happen once the USD/JPY reclaims 137.00, with bulls eyeing 140.00.
  • Otherwise, USD/JPY bears would have the upper hand if the major falls beneath 136.00.

After hitting a new YTD high at 136.91, the USD/JPY fell short of piercing the 137.00 figure and is staging a recovery as the New York session progresses. At the time of writing, the USD/JPY is trading at 135.85, below its opening price by 0.24%.

The USD/JPY bias is upward once the pair emerged above the 100-day Exponential Moving Average (EMA) last Friday. That exacerbated a rally above 136.00, an important price level for USD/JPY bulls as they prepare to launch an assault to 137.00. Though, the pair remains vulnerable at around 136.00, with sellers eyeing to drag prices below the latter, which would exacerbate a fall toward the 100-day EMA at 134.81.

For a bullish continuation, the USD/JPY needs to rise above 137.00, opening the door toward the 140.00 mark. But on its way north, the USD/JPY would face some hurdles. The first supply area would be the December 20 daily high at 137.47, followed by the December 16 high at 137.80, ahead of testing the November 30 daily high at 139.89.

USD/JPY Daily chart

USD/JPY Key technical levels

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