Nikkei 225 & USD/JPY AnalysisThe Nikkei 225 has reached new all-time highs (almost reaching 44,000), driven by strong domestic economic indicators and robust corporate earnings.
The yen has strengthened against the US dollar, influenced by
1) speculation over the timing of a rate cut from the FOMC, and
2) the Bank of Japan's hawkish stance and expectations of interest rate hikes.
(narrowing of monetary policy between the two countries)
Historically, a weaker yen (rising USD/JPY - thin blue line) has been beneficial for Japanese exporters, leading to increased corporate earnings and, consequently, a rising Nikkei 225.
But, at times, this inverse relationship has shown signs of divergence.
The current divergence between the USDJPY and the Nikkei 225 suggests that the Nikkei 225 is increasingly driven by domestic economic factors rather than the traditional USD/JPY correlation.
In the short term, the Nikkei 225 may continue its upward momentum, supported by strong economic fundamentals and investor confidence.
With the price breaking out and staying above the upward channel, climbing toward the 45,000 price level.
Medium-Term Risks: Potential geopolitical tensions and shifts in global economic conditions could introduce volatility in the medium term. This could lead to a retracement down to 42,000 before trading higher again.
While the traditional correlation has weakened, ongoing monitoring of USD/JPY movements remains essential, as significant fluctuations could still impact investor sentiment.
Yen
The NIKKEI 225 reached a new high on strong Japanese Q2 GDP
Japanese equities extended their rally last week, supported by strong economic data and expectations of Fed rate cuts. Notably, Japan’s Q2 GDP exceeded consensus, helping propel the market to fresh highs. GDP grew 1.0% YoY (prev. 0.6%, cons. 0.4%), easing recession fears despite lingering uncertainty over Japan-US tariff negotiations throughout the quarter. The achievement drew particular market attention, given the challenging trade backdrop.
Meanwhile, US Treasury Secretary Bessent sparked controversy by openly pressuring the BoJ to tighten policy, citing Japan’s inflation as a severe problem. Markets cautioned that if such remarks were to influence actual policy action, investors could view a BoJ rate hike as politically driven, complicating its execution.
NIKKEI 225 breached above the ascending channel’s upper bound and set a new high. The widening gap between both EMAs suggests the potential extension of bullish momentum. If NIKKEI 225 holds above the channel’s upper bound, the index may test the resistance at 44000. Conversely, if NIKKEI 225 reenters the channel and breaks below the support at 42115, the index could retreat toward the next support at 40800.
Expectation of Fed rate cut and BoJ rate hike dampen the USDJPYDue to the recent softer US CPI print and weakening labor market data since the start of the month, market expectations for a Fed rate cut have increased. According to the CME FedWatch Tool, markets are pricing in three rate cuts for this year, with the earliest likely to occur in September.
Meanwhile, in Japan, inflation has also eased, while concerns about US demand have diminished. Japan's 2Q GDP is expected to rebound to 0.4%, avoiding a technical recession. As a result, markets anticipate the BoJ may hike rates further, which would lend additional support to the yen against the US dollar.
Technically, USDJPY has formed a downtrend, characterized by lower swing low and a bearish extension of its EMAs. If USDJPY falls below the 146 support level, the currency pair could test the next support at 145. Conversely, if USD/JPY recovers above both the 21 and 78 EMAs, the price may surge toward the resistance at 149.00.
By Van Ha Trinh - Financial Market Analyst at Exness.
AUDJPY Strategy That Outsmarts the Noise: Entry & Target Ready!Hey friends 👋
I’ve prepared an analysis for the AUDJPY pair. If the price reaches the 96.201 - 96.169 zone, I’ll be looking to open a buy position from that level.
My target will be set at 96.524.
Every single like you send is a huge source of motivation for me to keep sharing these analyses. Big thanks to everyone who supports with a like 🙏
USD/JPY, CAD/JPY, CAD/JPY Technical OutlookSome interesting setups are forming on the daily charts of USD/JPY, CAD/JPY and CHF/JPY. Keep in mind that USD/JPY will be more sensitive to the incoming US inflation report, which leaves the potential for some divergences to form among the Japanese yen pairs. Overall, my bias is for them to move lower in due course.
Matt Simpson, Market Analyst and City Index and Forex.com
Volatile Times for GBPJPY: What’s Going On Behind the Moves?Good morning, Guys,
I’m anticipating a new short opportunity on GBPJPY once the pair reaches my sell zone level. From there, my target is set at 197.934.
Every like from you is what truly motivates me to keep sharing these insights.
Massive thanks to everyone who shows love and support!
ujThe dollar index (DXY00) on Monday added to last Friday’s losses and fell by -0.38%. The dollar moved lower Monday on negative carryover from last Friday’s weaker-than-expected US payroll and ISM manufacturing reports, which sent T-note yields lower and bolstered speculation that the Fed may cut interest rates as soon as next month.
USDJPY Breakout and Potential RetraceHey Traders, in today's trading session we are monitoring USDJPY for a selling opportunity around 148.300 zone, USDJPY was trading in an uptrend and successfully managed to break it out. Currently is in a correction phase in which it is approaching the retrace area at 148.300 support and resistance area.
Trade safe, Joe.
Yen Futures Options: What the "Put Condor" Tells Us About FutureA quick look at the options sentiment on Japanese Yen futures (not spot) — and there’s something interesting on the flow radar.
On July 10 , a "Put Condor" was placed — boundaries marked by the yellow rectangle on the chart (№1).
The goal of this setup? Price should expire within these boundaries — meaning the seller expects limited downside , but still allows for some controlled movement.
What’s notable?
This position was placed before the yen started to weaken — so someone was clearly preparing for this scenario in advance .
Also worth watching:
Further down (№2 on the chart), there’s another cluster of put options at 0.0067 — suggesting this level could act as a support zone if the futures contract drops that low.
📊 Bottom Line:
There are clear signs pointing to continued downside pressure in Yen futures.
The 0.006685 level is key — potential support for a bounce back into the 0.00675–0.00685 range .
USDJPY - Now or Never!Hello TradingView Family / Fellow Traders. This is Richard, also known as theSignalyst.
📈USDJPY has been overall bullish trading within the rising channel marked in blue and it is currently retesting the upper bound of the channel acting as an over-bought zone.
Moreover, the green zone is a strong weekly resistance.
📚 As per my trading style:
As #USDJPY is around the red circle zone, I will be looking for bearish reversal setups (like a double top pattern, trendline break , and so on...)
📚 Always follow your trading plan regarding entry, risk management, and trade management.
Good luck!
All Strategies Are Good; If Managed Properly!
~Rich
Disclosure: I am part of Trade Nation's Influencer program and receive a monthly fee for using their TradingView charts in my analysis.
USDJPY: The Fed & BOJ Likely To Keep Rates In Place. Buy It!Welcome back to the Weekly Forex Forecast for the week of July 28 - Aug 1st.
In this video, we will analyze the following FX market:
USDJPY
The FED and BOJ are expected to keep their perspective interest rates, come Wednesday. The USD is stabilizing, a US-Japanese tariff deal inked, and investors are slowing moving money from the Yen safe haven to riskier assets.
Look for USDJPY to slowly move higher.
Enjoy!
May profits be upon you.
Leave any questions or comments in the comment section.
I appreciate any feedback from my viewers!
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Thank you so much!
Disclaimer:
I do not provide personal investment advice and I am not a qualified licensed investment advisor.
All information found here, including any ideas, opinions, views, predictions, forecasts, commentaries, suggestions, expressed or implied herein, are for informational, entertainment or educational purposes only and should not be construed as personal investment advice. While the information provided is believed to be accurate, it may include errors or inaccuracies.
I will not and cannot be held liable for any actions you take as a result of anything you read here.
Conduct your own due diligence, or consult a licensed financial advisor or broker before making any and all investment decisions. Any investments, trades, speculations, or decisions made on the basis of any information found on this channel, expressed or implied herein, are committed at your own risk, financial or otherwise.
USDJPY Setup: Prime Buy Zone with a Clear Target!Good morning my friends,
I've prepared a fresh USDJPY analysis just for you.
Currently, the most logical buy zone sits at 147.170. If price reaches this level and performs a retest, it’s likely to target the 149.185 level.
I'll personally be entering at 147.170 and waiting for my target: 149.000.
This setup is based on the 4-hour timeframe, so it may take some time to reach the target.
Every single like you give is a major source of motivation for me to keep sharing these analyses.
Thanks so much to everyone supporting with a like!
USDJPY UPSIDE The dollar index (DXY00) on Tuesday rose by +0.22% and posted a 5-week high. The dollar has carryover support from Monday following the EU-US trade deal that is seen as favoring the US. Also, expectations for the Fed to keep interest rates unchanged at the end of Wednesday's 2-day FOMC meeting are supportive of the dollar. The dollar extended its gains after the US Jun advance goods trade deficit unexpectedly shrank, a supportive factor for Q2 GDP, and after July consumer confidence rose more than expected.
Singapore Dollar: Asia’s Quiet Safe Haven with Eyes on ParityThe Singapore dollar has quietly emerged as one of the strongest performers in Asia, gaining over 7% against the US dollar this year.
While much of the FX world fixates on the yen or franc in times of uncertainty, the SGD is carving out a niche as a regional safe-haven, driven not by size or liquidity, but by credibility.
The strength in the SGD isn’t just about USD weakness. Singapore's macro fundamentals
budget surpluses,
robust reserves, and
deep-rooted investor confidence
offer a kind of quiet strength that traders tend to overlook until it becomes obvious.
This makes the SGD a compelling hedge against both regional turmoil and global dollar decay.
As more global capital looks for stable homes outside of the traditional, Singapore’s financial system and currency are set to benefit.
The idea of SGD hitting parity with the USD, once dismissed as unrealistic, is now getting serious attention.
Analysts have suggested that it could happen within five years, but I wouldn’t be surprised if it comes sooner!
The greenback’s structural issues of twin deficits, political gridlock, and de-dollarization headwinds are no longer theoretical.
That said, liquidity is still a constraint. The SGD makes up just 2% of global FX turnover, and the MAS actively manages the currency to avoid excessive volatility.
This means that while the long-term trend favors SGD appreciation, traders betting on a rapid sprint to parity may be left waiting.
In my view, the SGD is one of the most underappreciated macro trades in FX.
CHFJPY - The Bulls Are Exhausted!Hello TradingView Family / Fellow Traders. This is Richard, also known as theSignalyst.
📈CHFJPY has been overall bullish trading within the rising channel marked in blue and it is currently retesting the upper bound of it.
Moreover, the green zone is a strong supply.
🏹 Thus, the highlighted red circle is a strong area to look for sell setups as it is the intersection of the upper blue trendline and green supply.
📚 As per my trading style:
As #CHFJPY is hovering around the red circle zone, I will be looking for bearish reversal setups (like a double top pattern, trendline break , and so on...)
📚 Always follow your trading plan regarding entry, risk management, and trade management.
Good luck!
All Strategies Are Good; If Managed Properly!
~Richard Nasr
Disclosure: I am part of Trade Nation's Influencer program and receive a monthly fee for using their TradingView charts in my analysis.
Fundamental Market Analysis for July 24, 2025 USDJPYThe Japanese yen (JPY) strengthened against its US counterpart for the fourth consecutive day and reached a nearly three-week high during Asian trading on Thursday. The recently announced trade deal between Japan and the US reduces economic uncertainty and increases the likelihood that the Bank of Japan (BoJ) will resume its tightening cycle at the end of this year, which in turn is seen as a key factor continuing to support the JPY. The US dollar (USD), on the other hand, is languishing near two-and-a-half-week lows and is putting additional pressure on the USD/JPY pair.
However, domestic political uncertainty and disappointing data on Japan's manufacturing PMI may keep yen bulls from aggressive bets. Moreover, the optimistic market sentiment should help limit the safe-haven yen's gains and further losses for the USD/JPY pair. Traders are now eagerly awaiting the release of US flash PMI indices to take advantage of short-term opportunities later in the North American session. However, the mixed fundamental backdrop calls for caution before making aggressive directional bets.
Trade recommendation: SELL 146.00, SL 147.10, TP 145.00
USD/JPY Possible Bear Scenario🔍 Analysis Summary:
USDJPY has failed to close above 146.1 on the weekly for the past 13 candles, showing clear signs of price exhaustion at this level. Price has also tapped into a marked 8HR bearish order block and printed a Daily Pin Bar — a strong reversal signal indicating potential downside.
📍Key Technicals:
• Resistance Holding: 146.1–146.6 zone
• Bearish Rejection: Pin Bar off resistance + order block
• Risk Area (Stop Zone): Above 147.16
• Target Zones: 144.2 (interim) → 142.4 (swing level)
🛠 Confluence:
• Order block rejection
• Multi-week resistance
• Clean structure with defined R:R
• Bearish candlestick confirmation
📊 Timeframe: 8HR
📉 Bias: Short
🔐 Risk Management: Proper stop loss in place above structure. Use personal risk limits.
⸻
⚠️ Disclaimer:
This setup is for educational and informational purposes only. It is not financial advice or a recommendation to trade. Always conduct your own analysis and use risk management based on your personal trading plan.