USD/JPY: Make or break at 151.30 – SocGen

Societe Generale highlights 151.30 as a crucial support for USD/JPY, as the pair’s recent gains suggest strong upward momentum. While signals of a pullback are beginning to appear, maintaining above 151.30 could extend USD/JPY’s targets to higher levels.

Key Points:

• USD/JPY has climbed steadily after breaking above its 50-DMA and crossing a previous descending trend line, indicating continued upward strength.
• Immediate resistance projections are set at 155.20/156.00 and further at 157.20.
• The 200-DMA at 151.30 serves as near-term support, with a break below this level potentially triggering a short-term pullback.

Conclusion:

SocGen views 151.30 as a make-or-break level for USD/JPY, as holding above this support could sustain the pair’s upward trajectory. However, a breach may prompt a pullback, tempering momentum for the near term.

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This article was written by Adam Button at www.forexlive.com.