USDJPY is extending its decline, approaching a key swing area between 147.20 and 147.338. This zone has been a significant technical level since August to October 2024 (see red circles on the four-hour chart). Last week, the pair stalled near this area before briefly breaking below it on Friday, only to rebound. Similar price action occurred earlier this week, with another failed breakdown.
On the hourly chart, the latest move lower has pushed USDJPY below its 100-hour moving average at 147.713 (see chart below), which now acts as immediate resistance. Sellers will look to keep the price below this level to maintain downside momentum.
Earlier today, the price attempted to push higher but stalled at the 200-hour moving average at 148.272 before reversing lower. This rejection reinforces the bearish bias, with traders now watching for a decisive move around the 147.20–147.338 support zone.
