USDJPY rebounds above 140 ahead of FOMC and pivotal BoJ meeting
USD/JPY finished lower overnight at 140.64 (-0.38%), paring losses from a fourteen-month low of 139.57.
USD/JPY’s rebound into the close and bullish RSI divergence indicates that USD/JPY is looking for a short-term low. However, whether it can rebound to pressure crowded short USD/JPY positioning will depend on Friday's #BoJ meeting outcome.
At the meeting, the BoJ is widely expected to leave its policy rate unchanged at 0.25%, with most of the focus on its forward guidance around the October meeting. Should Ueda indicate an October rate hike is possible, USD/JPY will likely dive towards the next level of support at 138.00.
USD/JPY’s rebound into the close and bullish RSI divergence indicates that USD/JPY is looking for a short-term low. However, whether it can rebound to pressure crowded short USD/JPY positioning will depend on Friday's #BoJ meeting outcome.
At the meeting, the BoJ is widely expected to leave its policy rate unchanged at 0.25%, with most of the focus on its forward guidance around the October meeting. Should Ueda indicate an October rate hike is possible, USD/JPY will likely dive towards the next level of support at 138.00.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.