FX.co ★ Forecast for USD/JPY on July 26, 2023

USD/JPY:

The USD/JPY pair finds it easier to initially rise and then fall than to just decline immediately. Yesterday, the pair fell by 56 pips, stopping at the nearest support level of 140.93. The signal line of the Marlin oscillator is consolidating near the border of the uptrend territory, intending to enter this area. The bullish target is the 142.82 level, a possible convergence point of the price channel line and the MACD line.

Today, the Federal Reserve will announce its crucial interest rate decision. If the decision goes against the dollar, and the price drops below the level of 140.35, the target will be 139.05. The oscillator will turn downwards.

On the four-hour chart, the Marlin oscillator has entered the downtrend territory. If it manages to pull the price below 140.35, then the price will face the challenging task of overcoming not only the level of 139.05 but also the MACD line.