USDJPY

The Japanese yen fell to its weakest levels in nearly two weeks yesterday, despite the Bank of Japan raising interest rates, losing value towards 151.666 per dollar. The reason for this is that at the end of the first paragraph of the decision text there is a sentence that says “financial conditions will continue to remain supportive”. The market interpreted this sentence as the BoJ “not entering a rate hike cycle” and the decisions taken at this meeting were understood as one-off “for now”. Analysts for the BoJ will use “data-based” progress much more in 2024. For now, the market is just waking up from its 17-year sleep. In technical terms, the 151.25 level can be followed in intraday downward movements. If this level is dropped below, the supports of 151.00, 150.53 and 150.29 may become important. In possible increases, the resistance levels of 151.72, 151.96 and 152.43 will be followed. . Support: 151,250 - 151,000 Resistance: 151,720 - 151,960