Japanese Yen: Trades at multi-decade lows against US Dollar – UOB
UOB Group’s Senior Technical Strategist Quek Ser Leang notes that USD/JPY has broken above 162.00, reaching its highest level since 1986. Despite a clear negative divergence on the daily MACD, he suggests the pair could extend its advance as long as it stays above the 21‑day EMA around 161.00, with round-number levels as practical resistance in uncharted territory.
USD/JPY advance holds above EMA
"USD/JPY rose above the rising wedge two weeks ago, and today, it broke above 162.00, reaching its highest level since 1986."
"That said, the daily MACD continues to show a clear negative divergence, suggesting that upward momentum remains lacklustre."
"While the negative divergence warrants caution over a potential pullback, USD/JPY could extend its advance provided that it continues to hold above the 21-day EMA, now at 161.00."
"With USD/JPY in uncharted territory, there are few obvious technical reference points to identify as meaningful resistance. As such, round-number resistance levels may serve as the most practical resistance levels."
(This article was created with the help of an Artificial Intelligence tool and reviewed by an editor.)
