Technical Analysis: USDJPY

USDJPY rose and then fell

On Wednesday, USDJPY climbed and then fell. It ended down 0.44% at 148.66 after rising for three consecutive days.

The Bank of Japan kept the interest rate unchanged

On the 19^th March, the Bank of Japan kept the interest rate unchanged at 0.5%, meeting market expectations. The economy grew and the prices went as expected, and when and how the interest rate will be raised depend on the economic data, the Bank of Japan Governor Kazuo Ueda said.

The Federal Reserve lowered the forecast for 2025 economic growth

On Wednesday, the Federal Reserve kept the federal fund interest rate target unchanged at 4.25%-4.5%, meeting expectations. In addition, the Federal Reserve cut the forecast for the US economic growth from 2.1% to 1.7%.

The bearish market trend prevailed

the Chart of the Day

On the chart of the day, USDJPY was prone to fluctuation and fell. The bearish market trend prevailed in the short term. In terms of technical indicators, RSI went downwards after death cross occurred, showing that USDJPY will decline further. Investors should focus on whether USDJPY will break through the support at 147.4. It will decrease further with potential support at 146.5 if it breaks below 147.4.

4-hour chart

On the 4-hour chart, USDJPY was prone to fluctuation and declined. The bearish market trend prevailed. In terms of technical indicators, MACD went downwards after death cross occurred, showing that the market trend is bearish. Investors should focus on whether USDJPY will break through the resistance at 149.1. It will dip further if it rebounds but is capped at 149.1.

Key resistance: 149.1,150.1

Key support: 147.4,146.5

Generally speaking, USDJPY is more likely to fall further in the short term. Investors should focus on US economic data during the day.