Buy Opportunity For USD/JPY with Fundamentals
The chart shows a potential buy opportunity for USD/JPY at key horizontal support (157.40–157.50). A short-term buy is valid with targets near 157.80–158.00. If the price breaks and holds above the upper trendline, it could signal a continuation of the bullish trend, justifying additional buy positions targeting higher levels. Stop-loss should be placed below 157.20.
Fundamental Analysis:
USD Factors:
Federal Reserve Policy: The Fed’s commitment to high-interest rates and its "higher for longer" stance supports the dollar. Any stronger-than-expected U.S. economic data (e.g., Non-Farm Payrolls, CPI) may reinforce bullish momentum in USD/JPY.
Risk Sentiment: A risk-on environment often strengthens the USD against the JPY, as the yen is considered a safe-haven currency.
JPY Factors:
Bank of Japan (BOJ): The BOJ’s dovish stance, with ultra-loose monetary policy, weakens the yen. Any unexpected policy shift toward tightening (e.g., changes in yield curve control) could weigh on this buy scenario.
Intervention Risks: Japanese authorities may intervene if the yen weakens excessively, creating downside risks for USD/JPY.
Market Sentiment:
Global risk appetite and equity market performance will also influence this pair. A continuation of risk-on sentiment could support further USD/JPY upside.
Recommendation:
Short-Term Buy: Targets 157.80–158.00 within the range.
Breakout Buy: Scale into additional positions if price breaks and holds above the upper trendline, targeting higher levels.
Monitor key fundamentals like U.S. economic data and BOJ announcements to adjust strategy accordingly.
Fundamental Analysis:
USD Factors:
Federal Reserve Policy: The Fed’s commitment to high-interest rates and its "higher for longer" stance supports the dollar. Any stronger-than-expected U.S. economic data (e.g., Non-Farm Payrolls, CPI) may reinforce bullish momentum in USD/JPY.
Risk Sentiment: A risk-on environment often strengthens the USD against the JPY, as the yen is considered a safe-haven currency.
JPY Factors:
Bank of Japan (BOJ): The BOJ’s dovish stance, with ultra-loose monetary policy, weakens the yen. Any unexpected policy shift toward tightening (e.g., changes in yield curve control) could weigh on this buy scenario.
Intervention Risks: Japanese authorities may intervene if the yen weakens excessively, creating downside risks for USD/JPY.
Market Sentiment:
Global risk appetite and equity market performance will also influence this pair. A continuation of risk-on sentiment could support further USD/JPY upside.
Recommendation:
Short-Term Buy: Targets 157.80–158.00 within the range.
Breakout Buy: Scale into additional positions if price breaks and holds above the upper trendline, targeting higher levels.
Monitor key fundamentals like U.S. economic data and BOJ announcements to adjust strategy accordingly.
Trade closed: target reached
FIRST TP HIT. CLOSE HALF OR FULL THEN RE ENTER AFTER BREAK 
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