Fundamental Analysis

• Gold Surges to New High, Reaches USD 2,989
• Trump Administration Imposes Retaliatory Tariffs on Europe
• Trump Administration Also Eyes Japan’s Rice Tariffs

USDJPY Technical Analysis

USDJPY remains in a downtrend, following the conversion line. The pair faces resistance at the conversion line, reinforcing JPY appreciation pressure. Concerns over the U.S. economic slowdown, coupled with Japan’s rising wages and expectations of interest rate hikes, are further supporting JPY strength.

The 38.2% Fibonacci retracement level is in focus, and USDJPY may attempt to break below the 146.50 JPY low again. If tariffs on Japan are implemented, the impact could be significant, making it uncertain whether JPY will appreciate or depreciate sharply.

In April, tariffs on the automotive sector are also planned. The market will closely watch whether Japan will become a primary target.

Day trading strategy (1 hour)

Analyzing the USDJPY 1-hour chart, the price has broken below the cloud, with the lower boundary of the cloud acting as resistance. The RSI remains below 50, indicating signs of a potential pullback.

Today’s day trading strategy is selling USDJPY:

• Sell limit order at 148.35 JPY (recent high)
• Stop-loss if the price breaks above the cloud
• Take profit at 146.50 JPY

Support/Resistance lines

Key support and resistance lines to consider:

• 148.35 JPY – Recent high on the 1-hour chart

Market Sentiment

USDJPY Sell: 41% / Buy: 59%

Today’s important economic indicators

*Trading advice in this article is not provided by Milton Markets, but by Shu Fujiyasu Jr., a certified technical analyst.