USD/JPY Price Analysis: Sideways below 156.50 as US yields fall

USD/JPY faces resistance at 156.50 as 10-year Treasury yields decline.
Bullish technical outlook with waning momentum; RSI under 50 could signal potential losses.
Resistance levels lie at 156.76, 157.00, and YTD high of 160.32.
Key support emerges at 156.00, Senkou Span A (155.61), and Kijun-Sen (155.18).

Christian Borjon Valencia FXStreet

The USD/JPY pair faces stir resistance at around 156.50 retreats as the US 10-year Treasury note yield drops three and a half basis points, a headwind for the Greenback. The positive correlation between the major and the US 10-year note yield weighed on the pair, down 0.06%, and trades at 156.19.

USD/JPY Price Analysis: Technical outlook

The USD/JPY remains upward biased, but buyers seem to have lost some momentum. They remain unable to bring the pair upwards and challenge the latest cycle high of 156.76, the May 14 high. The Relative Strength Index (RSI) suggests that buying pressure is fading. Despite standing in bullish territory, if the RSI punches below the 50-midline, that could pave the way for USD/JPY losses.

For a bullish continuation, the USD/JPY first resistance would be 156.76, followed by 157.00. Up next would be the May 1 high at 157.98, ahead of challenging the year-to-date (YTD) high of 160.32.

On the flip side, and the most likely path in the near term, if USD/JPY tumbles below 156.00, the first support would be the Senkou Span A at 155.61. Once cleared, the next stop would be the Kijun-Sen at 155.18 ahead of 155.00.

USD/JPY Price Action – Daily Chart

USD/JPY

Overview
Today last price	156.21
Today Daily Change	-0.04
Today Daily Change %	-0.03
Today daily open	156.25

Trends
Daily SMA20	155.49
Daily SMA50	153.26
Daily SMA100	150.66
Daily SMA200	149.08

Levels
Previous Daily High	156.31
Previous Daily Low	155.5
Previous Weekly High	156.79
Previous Weekly Low	153.6
Previous Monthly High	160.32
Previous Monthly Low	150.81
Daily Fibonacci 38.2%	156
Daily Fibonacci 61.8%	155.81
Daily Pivot Point S1	155.73
Daily Pivot Point S2	155.21
Daily Pivot Point S3	154.92
Daily Pivot Point R1	156.54
Daily Pivot Point R2	156.83
Daily Pivot Point R3	157.35

Author

Christian Borjon Valencia

FXStreet

Markets analyst, news editor, and trading instructor with over 14 years of experience across FX, commodities, US equity indices, and global macro markets.

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